Kenyatta Johnson

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Lawsuit against Kenyatta Johnson.

Text of Kenyatta Johnson

  • In the Court of Common PleasFirst Judicial District of Pennsylvania

    Bag of Holdings, LLC

    Plainti,

    Jury Trial Demanded

    v. November Term

    City of Philadelphia and Kenyatta Johnson, individually and in his Ocial Capacity as Councilman for the Second District of Philadelphia Defendants.

    No.

    NOTICE TO DEFEND

    You have been sued in Court. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice arc served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that if you fail to do so the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP.

    Philadelphia Bar Association Lawyer Referral and Information Service

    1101 Market Street, 11th Floor Philadelphia, Pennsylvania 191072911

    Telephone: (215) 238-6333

    AVISO

    Lo(a) han demandado a usted en la corte. Si usted quiere defenderse de estas demandas expuestas en las pginas siguientes, usted tiene veinte (20) das de plazo al partir de la fecha de la demanda y la notificacin. Hace falta asentar una comparecencia escrita o en persona o con un abogado y entregar a la corte en forma escrita sus defensas o sus objeciones a las demandas en contra de su persona. Sea avisado que si usted no se defiende, la corte tomar medidas y puede continuar la demanda en contra suya sin previo aviso o notificacin. Adems, la corte puede decidir a favor del demandante y requiere que usted cumpla con todas las provisiones de esta demanda. Usted puede perder dinero o sus propiedades u otros derechos importantes para usted.

    LLEVE ESTA. DEMANDA A UN ABOGADO I N M E D I ATA M E N T E . S I N O T I E N E ABOGADO O SI NO TIENE EL DINERO S U F I C I E M I E N T E D E PA G A R TA L SERVICIO, VAYA EN PERSONA O LLAME POR TELFONO A LA OFICINA CUYA DIRECCIN SE ENCUENTRA ESCRITA ABAJO PARA AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL.

    Asociacin de Licenciados de Filadelfia Servicio de Referencia E Informacin Legal

    1101 Market Street, 11th Floor Philadelphia, Pennsylvania 191072911

    Telfono: (215) 2386333

    Case ID: 141101744

    Filed and Attested byPROTHONOTARY

    17 NOV 2014 11:20 pmJ. OSTROWSKI

  • By: A. Jordan RushieJordan@FishtownLaw.comPa. Id. 209066M U LV I H I L L & RU S H I E L LC 2424 East York Street Suite 316Philadelphia, PA 19125215.385.5291

    In the Court of Common PleasFirst Judicial District of Pennsylvania

    Complaint

    Bag of Holdings, LLC brings this Complaint against the City of Philadelphia and Kenyatta Johnson, through its attorney A. Jordan Rushie, and alleges the following:

    S U M M A RY OF T H E C A S E

    This matter involves a pay to play scheme for vacant lots in the Second District of Philadelphia. Councilman Kenyatta Johnson is trying to sell city owned properties to political insiders and de-manding purchasers use his preferred developers, in what is a fla-grant violation of the Citys documented policies.

    Bag of Holdings, LLC

    Plainti,

    Jury Trial Demanded

    v. November Term

    City of Philadelphia and Keny-atta Johnson, individually and in his Ocial Capacity as City of Philadelphia Councilman for the Second District Defendants.

    No.

    Case ID: 141101744

  • Bag of Holdings LLC v. City of Philadelphia, et. al.

    Complaint

    PA RT I E S

    1. Bag of Holdings LLC, is a business organized under the laws of the Commonwealth of Pennsylvania, with a principal place of business at 1501 Dillon Road, Maple Glen, PA, 19002.

    2. The City of Philadelphia is a Municipality of the first class in the Commonwealth of Pennsylvania.

    3. Councilman Kenyatta Johnson is an elected councilperson for the City of Philadelphia, with an oce located at City Hall, Room580, Philadelphia, PA 19107.

    4. Councilman Johnson is the councilperson for the Second Dis-trict of the City of Philadelphia, which includes Point Breeze.

    5. Kenyatta Johnson is named individually and in his Ocial Ca-pacity as City of Philadelphia Councilman for the Second Dis-trict.

    FAC T UA L B AC KG ROUN D

    6. Bag of Holdings LLC is a real estate development company which engages in development in the Second District of Phil-adelphia.

    7. As part of its business, Bag of Holdings purchases vacant lots with the intent of redeveloping them.

    8. The City of Philadelphia owns many vacant lots which Bag of Holdings wished to purchase in the Second District.

    9. City of Philadelphia policy requires an open competitive sales process when multiple expressions of interest are made by de-velopers.

    10. A true and correct copy of the Citys Sale and Development Poli-cy is attached as Exhibit A, and is referred to in the Complaint as the City Sale Policy.

    # of 62

    Case ID: 141101744

  • Bag of Holdings LLC v. City of Philadelphia, et. al.

    Complaint

    11. The purpose of the City Sale Policy is to [c]onvey land in a uni-fied, predictable, timely and transparent process. (Exhibit A).

    12. Under the City Sale Policy, [o]pen Market Sales such as broker listings, the use of the Multiple Listing Service, web sites or oth-er recognized method of advertising may be used to encourage broad participation in the sale of selected properties. (Exhibit A).

    13. Bag of Holdings LLC is a Qualified Purchaser under the City Sale Policy.

    14. Plainti has made multiple Expressions of Interest on proper-ties located in the Second District and Point Breeze, in accor-dance with the City Sale Policy.

    15. However, many properties the Plainti has made Expressions of Interest on are scheduled for sale to political insiders of Councilman Kenyatta Johnson.

    16. On information and belief, certain political insiders made cam-paign contributions to Councilman Johnson or performed oth-er favors.

    17. Among other things, those deemed political insiders by Coun-cilman Kenyatta Johnson are able to circumvent the competitive bidding process mandated by the City Sale Policy.

    18. Certain properties are scheduled for sale to the political insiders without following the City Sale Policy, or notice to Bag of Hold-ings LLC.

    19. For instance, in just the last three months, at least seventeen out of twenty-two properties scheduled for sale by the City are to political insiders.

    20.Some of these political insiders include, but are not limited to, Hayman Construction LLC, Tremelle Hayman, and Felton Hayman.

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    Case ID: 141101744

  • Bag of Holdings LLC v. City of Philadelphia, et. al.

    Complaint

    21. Many of these political insiders are not Qualified Purchasers under the City Sale Policy.

    22. For instance, Felton Hayman pled guilty to third-degree murder charges in connection with the killing of a rival drug dealer as-sociated with the Junior Black Mafia. (Exhibit B).

    23. Hayman has also had a property foreclosed on as recently as 2014 the same year Hayman Construction LLC was formed.

    24. In selling the properties to political insiders, the Defendants ignored Expressions of Interest from other real estate develop-ers, including Bag of Holdings LLC.

    25. Certain properties are currently scheduled for sale under their actual market value, to the detriment of all Philadelphia taxpay-ers.

    26. On information and belief, as part of the arrangement, Kenyat-ta Johnson demands purchasers of these properties use political insiders such as Hayman Construction for the development.

    27. The above described actions essentially cut Bag of Holdings out of the competitive bidding process.

    28. On information and belief, the above described sales were eec-tuated by Councilman Kenyatta Johnson.

    29. The City Sales Policy mandates that [a]ll real estate transactions are governed by City and State laws and rules that generally pro-hibit, among other things, conflicts of interest, the disclosure of confidential information, and the representation of another by a City ocial or employee in a transaction with the City.

    30.Defendant Kenyatta Johnson violated this policy by eectuating the sale of certain lots to unqualified political insiders, often under market value.

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    Case ID: 141101744

  • Bag of Holdings LLC v. City of Philadelphia, et. al.

    Complaint

    Count 1Violations of Substantive Due Process and Equal Protection

    Against All Defendants

    31. On information and belief, the Defendants, acting under color of state law, intentionally scheduled for sale properties in the Second District to political insiders.

    32. In the alternative, the Defendants, acting under color of state law, arbitrarily treated Bag of Holdings dierently from other similarly situated real estate developers.

    33. Plainti was never given any type of hearing or notice before Defendants unfairly scheduled for sale properties in the Second District to political insiders.

    34. Defendants did not provide substantive or procedural due process of law to Bag of Holdings.

    35. The Defendants actions essentially cut Bag of Holdings out of the competitive bidding process.