A brother and sister have admitted to stealing $90,000 from New York’s Emergency Rental Assistance Program (ERAP), according to an announcement by State Comptroller Thomas P. DiNapoli, Albany County District Attorney Lee C. Kindlon, and State Police Superintendent Steven G. James.
Shaleen Mahtani, 56, of Paramus, New Jersey, and Denesh Melwani, 58, of Woodstock, pleaded guilty in Albany County Court to grand larceny in the second degree. They will repay the full amount taken. Sentencing for Melwani is scheduled for April 20, while Mahtani will be sentenced on August 20.
“Shaleen Mahtani and Denesh Melwani tried to defraud a program meant to help New Yorkers in dire need of housing assistance during the COVID-19 pandemic,” DiNapoli said. “My thanks to D.A. Kindlon and Superintendent James for their assistance in ensuring they were brought to justice.”
“The defendants in this case tried to use the COVID-19 crisis as a ruse to steal money from taxpayers but the paper trail never lies,” Kindlon said. “I applaud the work of the Comptroller’s Office, New York State Police and my office’s Financial Crimes Unit in uncovering this attempt to defraud the state.”
“Both individuals falsely took advantage of a program meant to safeguard and subsidize housing for those who honestly need it. Because of their dishonest acts, vulnerable New Yorker’s had funds stolen from them because of others greed and lack of conscience. I applaud the work of our members and partners at the Comptroller’s Office for holding these two accountable and bringing a measure of justice for the victims,” James said.
Investigators found that Mahtani and Melwani submitted false information on an application with the Office of Temporary and Disability Assistance (OTDA) to receive ERAP funds fraudulently. The ERAP was established during the COVID-19 pandemic to provide financial support for medium- and low-income households facing homelessness risk due to unpaid rent.
The siblings bought a Brooklyn condominium together in 2018 for $1.6 million. In February 2021, Melwani transferred ownership of the property solely to Mahtani. Later that year, they filed documents with OTDA claiming that Melwani was renting from Mahtani and owed her back rent during a period when both still owned the condo jointly. This resulted in Mahtani receiving $90,000 through ERAP funds; both shared these proceeds.
The investigation began after State Police received a complaint about improper receipt of ERAP funds by Mahtani and Melwani. The inquiry involved cooperation between DiNapoli’s office, state police investigators, and prosecutors from Albany County.
DiNapoli has focused on combating public corruption since taking office in 2007. He encourages residents who suspect fraud involving taxpayer money to report it by calling his office’s Fraud Hotline at 1-888-672-4555 or submitting complaints via email or mail.