By: Kevin Oklobzija//July 20, 2023
By: Kevin Oklobzija//July 20, 2023//
Three family members who a year ago alleged a Rochester real estate investor failed to use their money for the intended purpose have again turned to the court system in hopes of recovering nearly $500,000.
Brothers Daniel and Jeffrey Braverman and their mother Jacqueline contend in court papers that Kevin T. Burns defaulted on an agreement to repay money, funding that Jeffrey Braverman says was earmarked for the purchase of investment property but was never used for that purpose.
In papers filed separately on behalf of each plaintiff, the Bravermans are asking that confessions of judgment signed by Burns in March of 2022 be enforced. The documents were filed in state Supreme Court in Monroe County on July 12 and July 18.
Jeffrey Braverman claims he is owed $233,464.67 in principal, interest and legal fees by KTB Holdings LLC, a limited liability company managed by Burns.
Daniel Braverman alleges KTB Capital LLC and Burns personally owe him a total of $143,850.04 and Jacqueline Braverman alleges she is owed $119,414.29 by KTB Holdings.
The trio made various investments between 2010 and 2019, largely because of the friendship that existed between Burns and Jeffrey Braverman since high school in the early 1990s and between the family for better than three decades, Jeffrey Braverman said.
When the trio stopped receiving any sort of payments from their investments, couldn’t find any records of property purchased with their money and were given no explanation by Burns, they sued Burns and the affiliated LLCs in December of 2021.
In the wake of the lawsuit, Kevin Burns agreed to a repayment schedule, Jeffrey Braverman said, and a non-disclosure/non-disparagement agreement was signed.
Court papers show there had been a schedule for the payment of interest for each plaintiff, followed by a lump sum to be paid to each in September 2022. The lump sum would be paid when the sale of a property at 194-198 Charlotte St. in Rochester was finalized, Jeffrey Braverman said.
“He accepted responsibility,” he said. “But when September came around, he disappeared again.”
The Charlotte Street property finally did sell on May 9 for $430,000.
“We were originally told (by Burns’ legal representative) we could be at the closing to collect those funds,” Jeffrey Braverman said. “Then we were told the money was in the account of the attorney who did the closing. We were told all along we would be getting the money from the sale of this building.”
He said no payment has been made following the sale, so on May 24 Burns was served papers and, after failing to comply with the repayment agreement and answer the notice, the non-disparagement agreement was voided.
“He started paying us back (last year) and then for whatever reason backed out,” Jeffrey Braverman said. “All the principal is still owed, plus interest since September.”
Thomas Knab, managing partner at Underberg & Kessler LLP, is representing the Braverman family. Papers asking the court to initiate the confession of judgment were filed by David M. Tang, partner at Underberg & Kessler LLP.
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