GC Tagged For Grand Larceny In Alleged $50K Scam; DA Invokes NYS Lien Law, Treats Payments Pocketed For Home Improvements As Trust Fund Ripoff

From the Office of the Rockland County, New York District Attorney:

• Rockland County District Attorney Thomas P. Zugibe [] announced that John J. DiGiacomo (DOB 08/27/58) of [...] New City, New York has been charged with one count of Grand Larceny in the Third Degree, a class "D" Felony. DiGiacomo, a general contractor who conducted business under the company name of "Olivia Rose Landscaping Contractors, Inc." is alleged to have stolen $50,000 from a homeowner with whom he had contracted to perform approximately $134,000 worth of home renovations.

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• According to the charges, between October and December, 2008, the victim contracted with DiGiacomo to perform major renovations on his home. The customer gave the defendant more than $50,000 as a down payment for the project. District Attorney Zugibe said that DiGiacomo and Olivia Rose Landscaping performed minimal work for the victim before abandoning the uncompleted project. The victim was forced to hire new contractors to finish the project.

• The defendant will be prosecuted for Grand Larceny through application of the New York State Lien Law, which mandates that, upon acceptance of funds in connection with a contract for improvement of real property or home improvement, those funds become a trust, which can be used only to pay for costs incurred in the performance of that homeowner’s project.

• The use of that money for any other purpose is a larceny under the Lien Law. Further, the contractor must maintain separate ledgers for each job for which he has contracted.

• DiGiacomo is accused of walking away from the job and failing to provide an accounting or return of the victim’s money.

For the Rockland County DA press release, see Rockland County Home Improvement Contractor Charged In $50,000 Customer Swindle.