Accusations against Lowell Five, its lawyers and certain Tyngsborough town officials include financial manipulation and racial bias in lending practices.
BOSTON, June 10, 2024 -- In a noteworthy legal development, Troca Holdings LLC along with Dr. Mitra Das, Dr. Mukti L. Das, and Abhijit ("Beej") Das have initiated a lawsuit against The Lowell Five Cent Savings Bank. Filed in the US District Court for the District of Massachusetts, the case also involves the bank's top executives and partners from the Boston-based law firm, Nutter McClennen & Fish LLP, as well as a former local government official.
The plaintiffs, previous proprietors of a hospitality venture in Tyngsborough, MA, financed by Lowell Five, claim the bank orchestrated a systematic undermining of their financial and legal standing beginning in 2017. This alleged scheme intensified during and after Beej Das's political candidacy in 2018, leading to significant financial loss and criminal charges against him.
Key allegations in the lawsuit include Lowell Five's deliberate falsification of financial documents and discriminatory practices based on race. Evidence presented by the plaintiffs shows Lowell Five manipulated loan documentation and misled judicial and law enforcement entities to disadvantage the plaintiffs financially and legally. Notably, bank employees testified to the intentional alteration of completed transaction records.
The complaint further details discriminatory lending practices, citing data from the government's National Mortgage Database showing a stark disparity in loan approvals and amounts between minority and white applicants at Lowell Five. In 2017, Lowell Five's loan origination rate for minority applicants was significantly lower than that for white applicants, with especially low average approvals for Black and Hispanic individuals.
The plaintiffs accuse Lowell Five of engaging in predatory lending, fraud, violations of the Racketeer Influenced and Corrupt Organizations (RICO) Act, and misuse of the Bank Secrecy Act (BSA) to falsely report suspicious activities by minorities while ignoring similar actions by white clients.
Seeking both compensatory and punitive damages, the plaintiffs aim to address the severe financial and reputational damages incurred. They also seek injunctive relief to prevent future unlawful practices by the defendants.
Plaintiffs are represented by Tymann, Davis & Duffy LLP, with the case number 1:24-cv-10931-ADB. Troca Global provided research, drafting and data assistance to the lawyers of Tymann Davis. For additional details or to access the electronic copy of the complaint, please visit https://www.trocaholdings.com/l5suit
Tymann, Davis, and Duffy LLP is a Boston litigation law firm whose attorneys collectively have decades of experience handling high-stakes cases at some of the largest and most prestigious law firms locally and nationally. The firm advises and represents individuals and businesses of all sizes in a broad array of disputes including active litigation, appeals, arbitration, and mediation.
Media Contact
Michael J. Duffy, Esq., Tymann, Davis and Duffy LLP, 617-933-9490, mduffy@tddlegal.com
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