Providence, Rhode Island – The Rhode Island Attorney General’s Office has initiated legal action against a local real estate agent and his affiliates, accusing them of orchestrating a deceitful scheme to exploit a Haitian couple’s limited English skills and coerce them into selling their home at a significantly low price. The lawsuit, filed by Special Assistant Attorney General Jordan Mickman on October 31, targets Kyle Seyboth and his businesses, including The Seyboth Team Real Estate associated with Century 21.
The Delva family, Marie and Jean Marie Delva, elderly Haitian immigrants who have lived comfortably in their Smith Hill home for nearly three decades, were allegedly duped into signing documents they could not understand, believing they were refinancing their mortgage. Instead, the documents transferred their home’s title to Preferred Property Solutions, a company associated with Seyboth.
This troubling revelation came shortly after the Delvas were approached by real estate agents associated with Seyboth’s firm. They were presented with an offer that purportedly aimed to help them avoid foreclosure. Following this, the family was reportedly shuffled through meetings without the promised interpreter services, culminating in the signing of documents that were not provided in their native language.
As outlined in the lawsuit, Marie Delva was initially approached by Thelma Howard, an agent linked to Seyboth, with an offer for her house in June 2023—which was quickly followed up by Seyboth’s associate, Lowell Williams. They proposed a deal that involved refinancing the existing mortgage and maintaining the family’s title to their home.
However, after these agreements were ostensibly finalized, the subsequent documents presented and signed gave control of the property to Seyboth’s company. The Delvas continued to make mortgage payments to another of Seyboth’s businesses, Red Balloon Capital, unaware of the title change until the house was listed for sale for $450,000 in July 2024.
The actions filed against Seyboth and his companies include engaging in a bait-and-switch operation, misleading the homeowners about the nature of the documents they were signing, and partaking in what the complaint describes as equity theft. Other defendants listed in the lawsuit include The Seyboth Real Estate Team Inc., Preferred Property Solutions, Red Balloon Capital LLC, Chris Messier, and Lowell Williams. Notably, Seyboth and Messier own Preferred Property Solutions, and Seyboth owns Red Balloon Capital.
To remedy the alleged wrongdoing, the Attorney General’s Office is seeking a permanent injunction against the defendants to prevent further violations of the state Deceptive Trade Practices Act, restitution and other equitable monetary relief for the Delvas, and a $10,000 fine for each violation of the Act.
In response, a spokesperson for Seyboth, Mike Raia, has denied the allegations, stating that they believe Seyboth and his company acted lawfully. However, further details have not been disclosed due to the ongoing nature of the legal proceedings.
A Providence Superior Court hearing scheduled for December 6 will determine whether the current temporary restraining order against the defendants, which was agreed upon by the parties involved and granted by Justice Joseph McBurney on November 6, will continue until the case reaches a settlement.
This case highlights a pattern of deceptive practices aimed at exploiting vulnerable homeowners and serves as a pertinent reminder of the ongoing challenges people face in navigating complex real estate and financial situations. This legal battle underscores the necessity for vigilance and appropriate legal safeguards to protect individuals from fraudulent schemes.
Disclaimer: This article was automatically generated. The individuals, facts, circumstances, and story may be inaccurate. For corrections or to request an article’s removal, contact contact@publiclawlibrary.org.