UPDATE: March 20th, 2013. There has been an arrest. Read.
DELRAY BEACH, FL (BocaNewsNow.com) — More than a year after BocaNewsNow.com first reported that customers of Mizner Grande Realty in Boca claimed that their escrow funds were misappropriated by then-employee John Rashotsky, Delray Beach Police are offering no updates on the department’s investigation.
The case was handed-off to Delray investigators from Boca Raton police in early 2012.
Mizner Grande Realty, which enjoys a respected reputation in the region, fired Rashotsky and filed a lawsuit against him shortly after the story broke. At the time, Ari Albinder, president of Mizner Grande, told us:
“In our 10 year history, Mizner Grande Realty has established itself as one of South Florida’s leading real estate firms specializing in luxury home sales, with an impeccable reputation. While this was an act from a rogue former agent, we have added safeguards that this will never happen again at Mizner Grande Realty as we will set the highest industry standards in escrow accountability.”
A Delray police spokeswoman Wednesday offered BocaNewsNow.com only this brief response to a request for information: “I have no updates.”
It is unclear if the investigation is active, if the police determined there was no cause for criminal charges, or if it was handed off to a federal agency as the claims involved the allegation of financial crimes. It is rare for a police department to acknowledge an investigation, to publicly name a target, to ask the public to advise if there are additional “victims,” and then provide no status updates.
As we first reported late in 2011:
Rashotsky is accused of misappropriating escrow funds provided by clients who believed they were starting the process of purchasing a house in and around Boca Raton. The homebuyers later found out, according to police reports, that the money was nowhere to be found.
A public records check reveals that several lawsuits were filed against John Rashotsky in the past year or so, all of which now have a status of “disposed.”