Court sentencing for Aaron Yashouafar, best known locally as the owner of First National Center, was delayed Wednesday for 45 days as questions persist as to whether he fully compensated residents of the Paradise Spa condominiums in Las Vegas.
Yashouafar, chief executive of Milbank Reality, entered a guilty plea in July on fraud charges filed by Nevada Attorney General Catherine Cortez Masto, who alleged Yashouafar diverted about $1 million in insurance proceeds paid for fire damage at the Las Vegas complex.
A grand jury indictment obtained by Masto alleged the following: Yashouafar, who served as the treasurer of the Paradise Spa board of directors, received insurance checks for two fires, which occurred on Sept. 18, 2009, and Jan. 15, 2010.
In his capacity as treasurer of the Homeowners Association, he was provided two checks: one for more than $400,000 and the other for more than $430,000, issued by the Civil Service Employees Insurance Group, for property damage caused by fires at two separate buildings, according to the indictment. The insurance checks were issued for repairs.
The indictment determined that rather than repair the buildings, Yashouafar deposited the checks in an out-of-state bank account that he controlled. Condo owners, many of them seniors, alleged they were forced to find other living arrangements, while still making mortgage payments on their uninhabitable units.