Kyle Richards’ husband, Mauricio Umansky, is being sued in federal court over a $32 million Malibu mansion real estate deal. One of the Real Housewives of Beverly Hills stars’ former clients says that the real estate mogul failed to disclose key facts that could have had a major impact on the transaction, according to The Blast.
Umansky is the founder and CEO of The Agency, a luxury real estate firm in California. He and his company are being sued by Sweetwater Malibu LLC, the company that owned the mansion which is now the focus of the lawsuit.
The real estate deal has a long back story that involves Teodoro Nguema Obiang Mangue, the son of President Mangue of Equatorial Guinea. The United States government seized the home from Mangue, saying that it was purchased using funds stolen from the people of his country. Umansky was then able to get approval from the U.S. government to sell the home to Mauricio Oberfeld for $32.5 million.
The problem is that Sweetwater Malibu LLC says that Umansky didn’t disclose that he had higher offers prior to the sale. He also failed to disclose, according to the lawsuit, the fact that he had partnered up with the buyer to purchase the mansion. After purchasing the property, Umansky turned around and sold it for a $37 million profit.
According to the court documents, Sweetwater Malibu LLC believes Umansky participated in fraud in order to complete the transaction.
“This case involves brazen breaches of fiduciary duties by a high-end real estate broker and his firm the Agency, who were hired to sell a multi-million-dollar Malibu estate owned by Sweetwater,” the lawsuit reads.
The documents also accuse Umansky of violating his responsibility as a real estate broker “by engaging in blatant acts of self-dealing, earning secret profits, and both failing to disclose and outright misrepresenting material facts.”
This isn’t the first, or even second time that the home has been the center of a controversy. Last year, Umansky was sued by his insurance company for breach of contract over the real estate transaction. Umansky counter-sued the insurance company.
All this comes as Richards is fighting off critics who suggest that her daughter, Sophia, was only able to get into George Washington University by participating in the bribery scandal that has rocked Hollywood in recent days.
While Richards has admitted that she knows people involved in the scandal, she says that she had never even heard of the bribery ring before it hit the news. Her daughter also clapped back at critics, saying that she earned her way into college.
“I actually graduated high school on the deans [sic] list and worked really hard to get into a good school thank u [sic] for ur [sic] concern tho [sic] sweetie,” Sophia said.