Thursday, May 16, 2013

NYC Judge 'Green-Lights' Jilted Wife's Effort To Score Punitive Damages In Divorce Case Where Hubby Is Accused Of Duping Her Into Refinancing $26M Park Avenue Apartment For Some Extra Cash To "Tide Them Over Thru Bad Market"; He Then Allegedly Used Loot To Pay Down Business Debts, Stopped House Payments, Left Her & Kids w/out Support & Home In Danger Of Foreclosure

In New York City, the New York Daily News reports:

  • A real estate big who accused his estranged wife and her family of having forged his name to pocket $270,000 in insurance checks is now being accused of “wanton dishonesty” himself.

    A Manhattan judge is allowing Kent Swig’s wife, Elizabeth, to go after him for punitive damages in their divorce case, after his financial shenanigans nearly cost her her $26 million apartment at 740 Park Ave.

    In papers filed in Manhattan Supreme Court, Elizabeth Swig said her husband convinced her they should take out a $12.5 million loan on their pricey pad that would be used to pay off an earlier $5 million loan and give them enough cash to “tide them over through the bad market.”

    Instead, Swig, a developer who was hard hit by the real estate crash, used the money to pay off some of his other business debts. He then stopped making payoffs on the loans in June 2009 — leaving the apartment in one of the city’s swankiest addresses in danger of foreclosure, court papers say.

    He also stopped paying cash to support Elizabeth and their two kids, leaving her to turn to her parents, real estate giant Harry Macklowe and his wife, for financial help, court papers say.

    Swig later filed for divorce, and has since been ordered to pay $7,000 a month in support for his wife and kids, plus an unspecified amount to make up for the time he was not paying.

    Elizabeth said her hubby’s deception in the loan deal was so outrageous that she should also be entitled to punitive damages in their divorce.
For the story, see Estranged wife of real estate big sues for punitive damages over $12.5 million loan (Kent Swig’s wife, Elizabeth, was allowed by a judge to go after her husband for punitive damages in their divorce case relating to a million-dollar loan the couple took out to pay for their $26 million Park Ave. apartment).

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