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Alexander Almaraz, age 55, who formerly lived on Long Island, in Freeport on , is expected to be arraigned on wire fraud charges in federal court in Central Islip on Thursday, Jan. 26, according to the US Attorney’s Office in the Eastern District.
Prosecutors said Almaraz, who owns Design Concepts Group (DCG) in Freeport, targeted homeowners who suffered extensive damage during Hurricane Sandy in October 2012 and later received relief funds from the governor’s office.
As part of his scheme, Almaraz entered into contracts with the homeowners, promising to lift their homes and set them on a temporary support structure in order to demolish and replace their damaged foundations, prosecutors said. The homes would then be lowered back down and the utilities reconnected.
Between October 2015 and June 2019, he allegedly agreed to lift the homes of at least 20 customers who had received relief funds from the governor’s office and paid him a total of approximately $2.5 million.
Almaraz also convinced many victims to move out of their homes and pay him rent to live elsewhere, according to investigators.
Instead of performing the agreed-to work, however, prosecutors allege that he used the homeowners’ money to pay for personal expenses, including credit card bills and land purchased in Missouri.
He also bought several luxury cars, including a Lamborghini, a Porsche and a Jaguar, prosecutors said.
“In the aftermath of Hurricane Sandy, the defendant took advantage of distressed homeowners who were desperate to rebuild their homes and their lives,” US Attorney Breon Peace said in a statement.
“The criminal charges announced today demonstrate that despite the passage of time, this Office and our law enforcement partners will prosecute fraudsters who prey on disaster victims and use government relief programs as a piggy bank to enrich themselves.”
Almaraz is charged in a 20-count indictment that alleges wire fraud conspiracy, wire fraud, and attempted wire fraud.
If convicted, he faces up to 30 years in prison on each count.
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