INDIANAPOLIS — The Marion County prosecutor is going after a landlord suspected of pocketing millions of dollars instead of paying the utility bills at four apartment complexes in Indianapolis.
Chaim Puretz of New Jersey is charged with Corrupt Business Influence, a Level 5 felony, three counts of Theft as Level 5 felonies, seven counts of Theft as Level 6 felonies, and two counts of Theft as Class A misdemeanors.
Court records say Berkley Commons, Capital Place Apartments, Covington Square Apartments and the Woods at Oak Crossing ran up a total delinquent utility bill of $1,973,730.51 from October 2019 to April 2022. That led to Citizens Energy shutting off the water at Berkley Commons and Capital Place Apartments on the southside in February 2022.
The City of Indianapolis made an emergency payment of $850,000 to get the water back on in less than 24 hours. Investigators tried to track down the owners for more than a year.
"As we started to go through the different business entities that were involved in the ownership of these properties, you saw a nonprofit group, you saw different corporate entities not only in the state of Indiana but around the country,” said Marion County Prosecutor Ryan Mears. “What we're alleging is just a good old-fashioned case of 'follow the money.'"
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Court records say the money leads to Puretz. Investigators say he deposited $1,638,038.86 in his accounts instead of paying Citizens Energy. A warrant is active for his arrest.
"I think it's appropriate,” said Larry Herring, who lived at Berkley Commons when the water was shut off. “We were under the restraint of not being able to use the water and nobody understood why."
Berkeley Commons and the other complexes are now under new ownership. But many of the residents are still there who lived under the threat, and then the reality, of the water being shut off, even though they pay for their water in their rent.
"Money that we're making, we're paying our bills,” said Mary Smith, who also lives at Berkley Commons. “It's like, if we didn't pay my gas bill, it gets shuts off. I know why because I haven't been paying it. But me paying for our monthly water bill and it doesn't get paid, and they shut it off - you just feel helpless, like you can't anything."
Now the prosecutor is trying to do something.
"You had hardworking everyday people paying their rent and paying their utilities and they were exploited, and that exploitation cost them not only access to utilities that displaced people, it put people in a situation that they didn't deserve to be in,” said Mears.
The prosecutor's office has also filed a civil forfeiture action against Puretz to try to freeze accounts and get restitution for the city.
Indianapolis Mayor Joe Hogsett issued a statement:
“In 2022, the City stepped in to pay $850,000 in water charges at several affordable housing properties, avoiding the mass eviction of hundreds of Indianapolis families. Families that had kept current with rent payments that included utilities had their lives thrown into upheaval through no fault of their own. I am grateful to the Marion County Prosecutor’s Office for the extensive legal work involved to bring today’s criminal charges. Let this serve as a warning to anyone who would threaten the homes of our most vulnerable neighbors: Your day in court is coming.”