Posted to Chabad News on

Oholei Torah Slams Crown Heights Real Estate Agent Valerie Sebbag With Lawsuit Alleging Breach of Contract and Ethics Violations

by CrownHeights.info

Oholei Torah, the flagship Chabad boys’ school in Crown Heights, has filed a lawsuit against a local real estate agent alleging that she broke her contract and violated trust when she was hired for the purchase of a President Street building.

According to the lawsuit filed in court, Oholei Torah had hired Valerie Sebbag to represent them as they bid to purchase 1327-1333 President Street, a large building on the corner of Brooklyn Ave and President Street. Initially, Oholei Torah had placed a bid for $8,250,000, but Sebbag was alleged to have convinced them to up the bid to $8,700,000, which they did along with authorization for Sebbag to raise the price of the offer to a maximum of $9,000,000.

Sebbag, Oholei Torah claimed, told them that she had submitted their offer. According to the lawsuit, Oholei Torah alleges that Sebbag never did.

Without Oholei Torah’s increased offer, another company named Tomar Capital, was selected as the winning bid. Tomer Capital is owned by Schneur Zilberman, whom the lawsuit alleges is Valerie Sebbag’s husband.

Sebbag then allegedly came back to Oholei Torah claiming she could still get them the building from the buyer, whom she refused to name, for the sum of $9,500,000.

After discovering that Tomer Capital had won the bid, and that Tomer Capital was owned by her husband, Oholei Torah claims that they confronted her, only to have her offer that “if Plaintiff [Oholei Torah] paid an additional $200,000 toward the purchase of the Property, Plaintiff could then proceed with purchasing the Property.”

Instead of accepting, Oholei Torah responded with this lawsuit.

As per the lawsuit, Oholei Torah is alleging breach of contract as Valerie Sebbag is alleged to have not submitted Oholei Torah’s offer. They also allege multiple ethics violations, including the “Breach of Fiduciary Duty”, the “Breach of Covenant of Good Faith and Fair Dealing”, and “Unjust Enrichment” of herself through her husband.

These claims are followed by another claim, that of “Violations of New York General Business Law § 349”. In that claim, Oholei Torah say that “Defendants’ and/or their agents’ [Valerie Sebbag] actions toward Plaintiff [Oholei Torah] are part of a pattern and practice oriented to individuals and entities purchasing real estate in Kings County, New York. Upon information and belief, Defendants and/or their agents has been engaged in similar conduct with respect to property purchases in Kings County, New York.”

This is a serious claim.

Oholei Torah has requested the court award them damages for Sebbag’s actions for an amount to be determined at a further date.

A request for comment sent by CrownHeights.info to Valerie Sebbag was returned with accusations of collusion. This article will be updated as information becomes available.

If you have any tips or information in regards to this story, please submit them to our email at news@crownheights.info or to our WhatsApp at 718-285-8000.

531782_2024_Educational_Institute_v_Educational_Institute__SUMMONS___COMPLAINT_1Download

Related Articles

112 Comments

  • Shmuel

    I had a personal issue with Valerie when I responded on a facebook group about a property I rented advising that I lived there and people could feel free to reach out to me with questions.

    I got non stop harassment from Valerie. Voicemails and threats non stop. Interestingly enough the moderator of the “secret crown heights group” removed my comment. Talk of collusion.

  • Resident

    Good for the school! Our children shoukd go to yeshiva on remsen and who knows where while her husband shoukd buy the building to rent to goyim ???? Or overpriced for yidden ? This needs to end

    • Dovid L

      100%%%
      Besides the fact that she is stealing the Rebbes money by trying to steal from Oholei Torah !!
      There needs to be a cherem out on her AND her husband !! they should not be allowed anywhere near crown heights .

  • Goforit shchuna

    This is Valerie’s modus operendi. Others should hop on the bandwagon and make this a class action!

  • Yup, she does that

    She’s a thief, she does that all the time to innocent people
    She and Margula are the reason why home sales are too high for the area

    • Margula roumani

      Yes she is known to have cheated money out of people when they still had the photo business.
      She stole from my family multiple times. When called out she admitted but asked to pay more to fix her mistakes..

    • Margula Roumani

      To whomever penned that ridiculous comment about:

      1} the home prices are astronomical because I somehow have the power to dictate to the Sellers what to list their homes for
      2} I “robbed” your family when we had a studio on 13th Ave

      First, if you have something to say, pen your name otherwise it’s all BS since you are too much of a coward to back your ludicrous remarks on a public forum.

    • Former buyer

      Yes. Margalah and that Valerie are now jacking up prices in East Flatbush too. Screwing over buyers.

  • Just Absured

    “by Schneur Zilberman, whom the lawsuit alleges is Valerie Sebbag’s husband.”

    Really ?? Alleges?? Hes her husbad Ve’od Eich!!

  • I successful bought a house despite her

    When I was looking for home in CH she offered be be my buyer agent on a particular property. I couldn’t understand why not negotiate directly with the seller agent. Thanks GD for that. She tried to play some game with other potential buyers. I only got my house because she could’nt put me in game. She seems sharky to me doesn’t care about anyone. I wouldn’t trust her to sell or buy for me.

  • R

    I’ve heard multiple people saying they’ve been scammed by Valerie. She is an absolute predator in this community! There’s so many good and honest agents in the community, use them! Meet multiple agents before deciding who you list with! Not to mention Valerie is so mean and difficult to work with. Thief, liar, bully, predator.

  • #MeToo

    I dealt with her once in 2018 when trying to help a yungerman buy a house that she was brokering. She messed him over as well as causing the eventual buyer overpay tremendously. That was the last time I dealt with her.

    I’m happy to share all the details if someone wants to verify with the others involved.

    My hope is that this exposure will hopefully save others from being messed over by her.

    • Obvious

      I assume OT went through the process and started with Beis Din

      Would like the B”D process to be shared.

      If a B”D would put out some sort of cherem on doing business with her regardless of what happens in court, that would go a long way to protecting the community.

    • OTnick

      You’re allowed to go to court if there is a threat of an immediate harm that a beis din cannot stop and if there’s good reason to believe that the other side won’t listen.
      By the seforim case, they took Barry to court for these reasons.

    • Beis Din

      I’m also curious about the Beis Din part.

      I’m much more curious about those commenting about Beis Din when everyone else in Crown Heights is breathing a sigh of relief that someone finally took her to task after years of robbing the community.

      Are you a friend/relative of hers?

      Try talking to the families that weren’t able to buy a house bc of her. Or those that overpaid $100k bc of her.

    • Concerned resident.

      They didn’t go to BD because they have no claim and it would be laughed out of BD. The sad fact is that OT didn’t want to pay market value for the property–but their donors wanted them to buy it. So now that they didn’t get it, they’re blaming Valerie. And BD filings aren’t dramatic or public, so they went to court. Shame.

    • Interesting you ask for B"D

      I know people have tried to take Valerie to Segal’s B”D in the past, Segal delayed the hazamana months and months, and finally after months of frustration, said she ignored calling for B’D in the past and “it’s not worth it, just drop it”.

  • S

    What kind of message does it send to to OT’s thousands of children learning Al taharas hakodesh when the board bypasses Beis Din and goes straight to court and public slander! Shocking they didn’t take her to Beis din!

    • Avi

      What makes you think they did not go to beis din?
      Also why is everyone all of a sudden more holy than GD. Did she ask a rav before trying to STEAL from OT???
      Can we stop this bs and then OT defend themselves and save the CH community in the process.

    • Concerned resident.

      You’re correct. They didn’t bring her to BD. They’re only goal is to harass Valerie. Even the complaint itself doesn’t seek a specific remedy. Very sad.

    • To 'Concerned Resident'

      The remedy is in the lawsuit as daylight! Give us the contract your husband locked it if for after OT told you took you as THEIR agent, and confided in you they were willing to pay for it directly from the owner, and, of course damages, simple.

    • Self-awareness

      To me it sounds like OT is beginning the process of ending the Crown Heignts nightmare called Valerie.

    • Jq

      You read the article and didn’t comment ”Sounds like Valerie is a massive Ganev”.

      Lol.

    • nothing new

      ever since the board “stole” the yeshiva from rosenfeld, they went full businessman and turned the yeshiva into a corporation. they fired and destroyed anyone that stood up to them or had too much individual power, then began seeing how they can maximize profit. they expanded the zal and added so many tables that bochurim are now sitting with tables touching, (imagine how much learning happens now

  • It’s about time!

    1. The Beis Din question is valid.

    2. I’m surprised that when this woman is finally exposed after all these years of destroying our community, people are asking about Beis Din without also sharing their disgust at her behavior all these years. Two wrongs don’t make a right. But please don’t distract from the big picture of what’s been going on all these years due to her cheating and lying.

  • Concerned resident.

    This is nonsense. OT didn’t want to pay the market value of the property. It’s known that OT bullied others to withdraw their larger offers. OT’s donors wanted to see them buy it, but OT wanted to pocket the money. So now, to save face, they’re blaming Valerie. The complaint is vague and meritless; they didn’t even sue the seller, so it’s clear their only goal is to harass Valerie. Very sad.

    • Living under a rock

      Please stop defending a known community monster.

      You’re welcome to write a separate piece on OT another day.

      On this one we should all be thanking them for doing what the community should have done to her years ago.

    • Oh Please!!!!

      Don’t defend someone who is destroying our community. She is an outright crook in everything she does, not only real estate. Time to put an end to her and save Crown Heights.

    • Concerned concerned resident

      This whole argument of market value is inaccurate because:
      A-everyone wants the best deal
      B-she is supposed to fight for the best deal for her client
      OT is a CH mosed, it’s not like a private house that others have potential in this property, it’s a rent stabilized building that OT has huge value in it simply because they don’t need to worry about the low rents for their own students.

  • Anonymous

    OT does according to Halacha. I am sure without doubt that they tried with Rabonim and got a heter to go to court. Why assume otherwise?

    On a separate note, a dishonest person would lie to Beis Din…

    • No need to worry

      It’s clear to most who at any time in the past 10 years dealt with housing in CH whether renter, buyer or seller, who all these comments defending her are come from.

  • Meet too

    She has claimed to be an exclusive agent on property I was looking at without her… that she wasn’t and then threatened lawsuits when I continued to try buying without going through her.

    • kan Zivah

      I had EXACTLY the same issue. I was in contact with landlord about renting a properry when I got a call fromher seeing she has exclusive. i called back the landlord and he said he never signed exclusive on it. The end. Cats out of the bag.

  • A mother

    I do not have a home and don’t have any sons in OT either. BUT can we please not publicly slander another Jew ? We can do better and settle this with out shaming each other .

    • Naive

      Your innocence and sincerity is beautiful.

      Your naïveté is enabling and not so beautiful. Sorry to break it to you: Thieves exist. They usually thrive when left unchecked. Valerie is a prime example of destroying our community without ever being put in check.

      Thank you OT for helping put an end to this once and for all. Hopefully.

  • Me three

    She lists properties for rent below market value and then does a bait and switch for a more expensive one saying the listing was taken.

  • Zillow monster

    When you follow her properties listed on Zillow it’s funny getting a daily notification that they had a “price reduction” ……of 1 dollar.

  • Popcorn 🍿

    Ohhhhhh boy….. Let me set my microwave on high for this one.

    Her voice notes with her toilet mouth are being reshared yet again in every group I’m in.

    Snakey snake snake is at it again … Who would have thought……………

  • Chana G

    Posting this feels like an act of unnecessary hate and an attempt to harm the parnasa of a fellow Jew. Yes, Valerie might not be the easiest person to work with, but she is a woman navigating a challenging, male dominated field and doing her best in her role. If you don’t like her, you’re free to work with someone else. But stirring up hate and talk of cherem only damages our community.

    • Leave gender out of this

      Don’t blame her lying and cheating on being a woman.

      There are many capable women doing a fine job in Crown Heights real estate. There are male crooks out these too.
      That’s a poor excuse for her behavior. Sorry.

      I appreciate you trying to be dan lkaf zechus though.

    • Natan

      I’m happy someone is finally taking the initiative and doing to Valerie what should have been done long ago – others have attempted to take her to B”D, andshe never showed up, just laughed at it. By allowing this snake to keep taking advantage of Anash over the years with impunity – is a shame She should have been publibcally called out for this 12 years ago when she came to Crown Heights!

    • Let’s not play this game

      1. If you can’t handle this conversation, get off the internet.

      2. Do your research before saying anything to protect a known ganev.

  • OT, sorry but your at fault

    Sorry , but knowing her, you never should’ve hired her in the first place. You knew what she’s capable of, yet you still hired her, thinking you’ll get what you want out of it. But now, it came to bite you back.
    Don’t dig a hole for yourself, and then complain about being in it.

    • Great point

      I was wondering the same. OT deserves what they got for hiring her despite her terrible reputation.

      But I’m kind of happy they got into this hole. It’ll hopefully be the beginning of the end of the Valerie madness

  • Jake the Jew

    The last lowlife broker TAL was doing the same thing until she was caught and was forced to forfeit her real estate license by New York State Secretary of State, who has regulatory oversight over Real Estate brokers. She went out of business. One down, one to go.

  • MC

    If all I’m reading about her is true than shame on the OT Board for using her — what other incompetent actions has/ is the board taking … time for a new board.

    • My 2 cents

      It’s not usually a choice. In ch, anyone who tries to buy somehow she suddenly gets it under her control.

      And I must say I’m very impressed with the board BH in all areas. Including this.

  • Mendel

    OT should have done better research before hiring her, if you to sleep with dogs don’t cry when the bite you,

  • Scammers scam

    Wow many months ago someone told me she did the exact same thing to her. But thank G-d she didn’t fall for it

  • Been effected.

    Had a few incidents as well where Valerie screwed me over. I learnt from my mistakes to never use her again.

  • Frankly I’m surprised

    VS is known to be a vicious person. Every person that met her has something negative to say. I have never met someone that likes her. So if everyone hates her, how come it took so long for this to come up?

  • Levi

    She did the same to my neighbor and raised his purchase by 400k. She’s the cause so many cannot afford a house and also affects the rent that people are struggling with.

  • Michoel

    Don’t forget 800 Eastern parkway. Which was flooded and set on fire to remove the tenants. The building hasn’t been renovated since 1909. With the original doors. Stairs. Walls. Etc.
    In that rotten condition she listed it for $6,000,000.00 she settled with merkos for the kotlarsky center for 3,770,000.00. The neighbor next door wanted to buy it and open a yeshiva there..

    • Dan

      The neighbor next door is a Dr known very well by Crown heights residents as well as boropark residents and very important people. He was interested in buying the house to open a yeshiva in memory of his father to passed away this year.

  • Val

    Who in their right mind would trust valerie?
    A notorious predator who would throw anything and anyone for an extra 100$ on her pocket…
    You might wonder why did valerie didnt pick anyone else to do this scam with?
    The answer is simple, valerie is a narcissist and she believes everyone would behave like her… so she couldn’t trust anybody besides for the person who she lives with

  • Binyamin

    I’ve been told numerous times that she goes to non Jews houses and even old Jews. And bribes them with cookies to get them to use her as the agent and convinces them that she’ll give them more money if they charge more. Etc
    … Bribery with cookies… Let that sink in

  • Crown Heights Resident

    Unfortunately many real estate brokers act in similar unethical manner. Inserting a related (by blood or business) buyer to get the contract, just in order to flip the property for an additional profit.

    I would say that this can only be addressed by the authorities instituting laws and rules that would severely punish unethical actions.

    • Anon

      This is why it’s important to speak and meet with multiple agents before deciding who to work with, whether buying or selling. You can always ask for references or ask around to friends to see who they could refer you to.

    • Real estate developer

      Just to make it clear to you, flipping contracts is called wholesaling real estate and it’s not illegal and the broker or whoever who finds the property for cheap and flips it for a profit is entitled to!! You can go sit on the phone for 8 hrs everyday a week and try to find the deal.. you’re entitled to be paid for your work. However when it is done to a moised or a family I agree it’s wrong.

    • To Real estate Developer - WRONG!

      True anyone can flip a contract – sometimes ethical sometimes not – However this wasn’t merely a “contract Flipping”. Valerie signed with Oholei Torah to be their Exclusive Agent. She has a Feduciary Duty to act in best interest of her client, OT. Instead, her narcissistic greed moved her to tie up the Contract with Seller, so that she can (probably) make $1M + on this ”flip” – totally unethical!

  • Multiple Comments by Same People

    I believe that there are probably 10 total people at most who are commenting multiple times.
    It seems HATE sells better than love tonite.
    This is an example of trying your case through the press.
    Let he who is with who is without sin cast the first stone.
    If you are going to insult, don’t be an anonymous coward.
    Haterade on Sale – but 1 get 10 comments free

    From a Jew who doesn’t live in CH

    • Contract Vendee

      @Irony – The irony of your comment requesting my name is that you enter the blog without a name yourself. You can call me “contract-vendee” which is perfectly legal. However, it does depend if there are fiduciary duties involved with being a buyer broker as opposed to. Seller’s broker, broker’s agent or listing broker.

    • Irony

      @MochaVendee…am not the one preaching everyone state their name and not doing it myself with some lame explanation. Put up or shut up.

  • Someone posted that she is a narcissist: BINGO!

    When I got to the end and saw the following, my immediate thought was that she is a narcissist:
    “A request for comment sent by CrownHeights.info to Valerie Sebbag was returned with accusations of collusion.”

    Accusing others of what you yourself are doing: classic narcissistic behavior!

    And it’s extremely rare that such a person will ever see their own awful, immoral behavior for what it is. SAD!

  • Guess who

    Major props to OT for suing her! Countless families have been negatively affected by her but usually they don’t have the money, knowledge or determination to make a fuss/sue over it. BH OT evidently has both. I hope they don’t settle!!!
    Should be a cut & dry case. In discovery she’ll either have an email/dated offer letter proving she did/didn’t submit OTs offer.
    Dirty agents need to go!

  • Shmully

    She called me a few times. Looking to buy a house I had shares in. She told me straight out. Don’t you want to make an extra $250K????
    I said NO. Your going against the Rebbe by jacking up prices.
    She said I’m a naive fool for not making money.

  • Margula Roumani

    In response:
    1} My husband’s prices were and always will be BELOW comparable professional prices.
    I challenge you to reveal yourself and clarify precisely how we “robbed your family” multiple times.
    2}If you only knew how hard us agents work to finally procure a prime CH brownstone for sale. Years of diligent follow up, etc. How naive to think Sellers price their homes based on my humble opinion!

  • Running the Gauntlet

    Schedenfraude: pleasure derived by someone from another person’s misfortune:

    How many comments are there on 1) homeless shelters, 2) bike lanes, 3) CHJCC, 4) parking, 5) why the Lubavitch don’t plan and build housing like the Satmar, 6) Slumlords in the Shcuna, 7) developing in Shcuna,

    CHinfo gave you the bait and you took it.
    Just like the Black Lives Matter protests.
    Hate gets more press.

    • ch resident

      To: Running the Gauntlet. to #5 building like the satmar? really!! you mean the satmar that buy houses in crown heights. to develop and fill it with non Jewish family’s. they don’t build it that a frum person can thing of renting it. we should learn from them???

  • Yaacov Yudewitz

    How many in the community have bid against shuls and schools for their own benefit when they should have withdrawn their offer in the name of Yiddishkeit?

    How many have bought buildings for themselves when it should have gone to the CHJCC?

    How landlords rent to dangerous unhinged people, for a few extra shekels, when they could be renting to Yidden (who are not the dangerous unhinged type)

  • Curious resident

    why does oholei Torah want this building? What are their plans for it? Is it a investment opportunity for them to grow their endowments? Do they want to use it as a dormitory for the zal bochrim? Anyone know?

    • In the know

      either for that or to move Shiur alef and beis zal into a nice building for themselves… or for any other nice program which they would like to start for the over 2,000 students currently in their system.

  • Orel

    Learning about this is extremely alarming. That is why I call Perets Benhayoun or Mendel Jacobson for my real estate needs. Two honest hardworking B’nei Torah!!

  • A

    Do better – this is wrong to embarrass, shame and humiliate a Jew publically.
    This is so awful. And pure Lashan Hara.

  • Cs

    Unfortunately it’s lubavitch guys to… I will refrain from naming a well known lubav realtor who totally screwed me over because he thought he could get a bigger profit for himself from someone else ..amazingly within mins of this ever so wonderful deal we had for months the guy was now a real dishonest guy he has to cut the deal and he has a new guy.. yes within mins but that deal fell thru

  • Cs

    Cont… it the last hr as it’s called he set me up with some1 else I had no choice or I would loose my house to foreclosure this after many months of failed attempts of potential others .. he made big money and even though I rented my home back had to pay 6 yrs rent 150k deposit I was kicked out a yr + later unfortunately they’re more then vs who aren’t honest or Ehrlich it’s all about their pocke

Add your comment

The comment must be no longer than 400 characters 0/400