By MICHAEL BESSERAPLE Source CBS NewsPublished April 16, 2018 04:03:52 New Jersey’s governor is facing a class-action lawsuit alleging that he lied to investors in a failed real-world investment company.
Christie’s Real Estate was founded by Christie and his brother, Chris, in 1993, and has since grown into a multi-billion dollar company with assets worth more than $6 billion.
Christies spokesman Michael Besseraple said Christie “takes the allegations seriously,” but “this is an unfortunate case.”
The lawsuit was filed in federal court in New York by the group Common Cause New York.
The complaint said that the Christie brothers created a trust to manage Christie’s property in the 1980s.
The trust was later sold to Christie, the complaint said.
The lawsuit also said that Christie lied to his investors when he claimed that Christie had been successful in managing the company, according to Common Cause.
Common Cause said the lawsuit “undermines the governor’s campaign to defend his record as governor.”
Common Cause said that while Christie has been a governor since 2001, the Christie family had no assets in the company before the trust was sold to him in 2016.
Christie’s office did not immediately respond to a request for comment.
The company’s chief executive, Christopher Houser, was fired last year after he was indicted on charges related to fraud and embezzlement in connection with the trust.
The Christie family has been the target of a lawsuit in New Jersey in which two women allege that they were sexually harassed and pressured into having abortions in 2012.
They also say that Christie sexually assaulted them.
Christias office did no immediate response to requests for comment on the lawsuit.
The suit said that after Housers departure, Christie tried to “stretch his financial empire and make sure he would have enough money to pay off his debts and avoid the inevitable bankruptcy.”
Common Demand filed a similar lawsuit in Florida against Christie’s former chief of staff, Patrick Kennedy, and another executive in June.
Christie has not yet responded to Common Demand’s request for an interview.