Sun Sentinel Palm Beach Edition

Father-son developers charged with extortion

Move comes years after bribery scandal

- By Rafael Olmeda

Bruce and Shawn Chait, a father-son developmen­t team at the center of one of Broward County’s biggest corruption scandals, have been charged with harassing and extorting the owner of the property that landed them in trouble more than a decade ago.

The Chaits are in the Broward Main Jail, each charged with six counts of extortion, two counts of racketeeri­ng and one count of organized fraud. Prosecutor­s say they carried out a plan to ruin the current owner unless they were paid more than $3 million.

The owner called authoritie­s, who secretly recorded the Chaits implicatin­g themselves as recently as last week.

Also charged were Harris Neil Shapiro, 38, of Margate, and John James Colonel, 33, of Fort Lauderdale.

The Chaits’ earlier history of bribes led to a corruption scandal that saw a county commission­er imprisoned and political careers from School Board to City Hall maimed or destroyed.

Broward County Commission­er Josephus Eggelletio­n was convicted in 2009 after confessing to taking $28,200 worth of bribes from the Chaits. Others charged in connection with the Chaits’ corruption included then-Tamarac Mayor Beth Flansbaum-Talabisco, Commission­er Patte

Atkins-Grad and former Broward School Board member Stephanie Kraft.

Bruce Chait and his son accepted a plea deal in exchange for probation and their testimony against the elected officials, but in the cases against Kraft, Atkins-Grad and Talabisco, their testimony appeared to backfire.

None was convicted of the most serious charges they faced. (Kraft was found guilty of official misconduct for skipping out on a vote instead of announcing she had a conflict of interest — the Chaits had hired her husband as a consultant.)

But the scandal and others at the time led to passage of a countywide Code of Ethics and embroiled Broward in corruption controvers­y for years. One commission­er at the time called the Chaits “two of the most despicable people I think that have walked into this chamber in the years I’ve been here.’’

The pair’s wrongdoing was tied to the planned developmen­t of Prestige Homes, which would have replaced two golf courses with 732 single-family homes and townhouses, a proposal that drew opposition from residents of the surroundin­g neighborho­ods.

After the Prestige scandals subsided, the Tamarac property went to another developer, Arnaud Karsenti.

According to a report filed with the clerk of courts, the Chaits plagued Karsenti and his company, 13th Floor Investment­s, with false allegation­s about environmen­tal hazards on the property, even paying for the down payment on a home on behalf of a friend and golf partner who sued Karsenti and claimed the property had unsafe levels of arsenic.

The Chaits sent multiple anonymous letters to county officials, including Broward County Environmen­tal employees, making similar fraudulent claims about the property, according to the Florida Department of Law Enforcemen­t.

Prosecutor­s say the Chaits were motivated by jealousy over losing their hold on the valuable property. From April 2013 through August 2015, 13th Floor paid the Chaits $500,000 to ward off claims of environmen­tal hazards, according to prosecutor­s.

Earlier this month, Shawn Chait met with the victim, unaware he was being monitored by law enforcemen­t, according to the report. Chait is accused of asking the victim for $3.4 million in exchange for having allegation­s of environmen­tal issues dropped.

“These criminals were on a path to destroy the victim’s reputation as well as his business by spreading lies about the land and the victim’s developmen­t,” FDLE Commission­er Rick Swearingen said in a written statement.

Bail for each of the Chaits was set at $10.5 million.

 ?? SUN SENTINEL FILE ?? Shawn Chait, left, and Bruce Chait have been charged with extortion, racketeeri­ng and organized fraud.
SUN SENTINEL FILE Shawn Chait, left, and Bruce Chait have been charged with extortion, racketeeri­ng and organized fraud.

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