Mug: Jon D. Rashotsky
By Angie Francalancia
A yearlong investigation by Delray Beach police resulted in the arrest of former Mizner Grande Realty agent Jon D. Rashotsky, suspected of misappropriating more than $2.8 million in escrow funds from 83 clients. Rashotsky was scheduled to be arraigned April 2 on felony charges of money laundering and fraud. The Delray police investigation alleges that Rashotsky used money from escrow accounts of his real estate clients via payments to three women, including his wife and a woman he met through a dating website.
None of the women has been charged and may have been unaware of the illegalities, according to the police.
Between July 2010 and November 2011, Rashotsky had misappropriated $1,130,760 from the escrow accounts, according to the probable cause affidavit. Rashotsky had directed the Boca Raton attorney who held the escrow account to distribute money to the women. It wasn’t until money was not available for a closing in mid-November 2011 that the fraud was discovered.
Alerted by prospective buyers that their money was missing from escrow, Mizner Grande broker and owner Ari Albinder fired Rashotsky.
The affadavit alleges that Rashotsky spent the money on shopping, tattoos and entertainment for a woman Rashotsky met through the website seekingarrangements.com. Rashotsky also had used $5,416 for that woman to stay in the Seagate hotel for three and a half weeks. In total, Rashotsky had caused $58,760 to be distributed to her; $304,996 to be distributed to his wife, and $776,003 to be distributed to an acquaintance Rashotsky hired as a real estate clerk.
Mizner Grande Realty has filed suit against Rashotsky to recover the stolen money. And Mizner Grande faces lawsuits from three clients alleging the firm was negligent in employing Rashotsky.
Albinder referred comments to Ted Mortell, who represents the company’s insurer. Mortell didn’t return a message left at his office.
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