Former Scranton School Director Christopher Musti claims incompetence in theft case

Jun. 27--Former Scranton School Director Christopher Musti acted as an unlicensed broker when he accepted a consulting fee to facilitate the sale of an elderly Scranton man's home, according to Lackawanna County district attorney's office.

Musti, 43, recently traveled back to Pennsylvania from his new home in Tampa, Florida, to answer charges that he stole several thousand dollars from 73-year-old Neil Robbins, including auctioning off the man's possessions. Robbins has Alzheimer's disease/dementia, authorities said.

Musti is charged with theft by deception, securing the execution of documents by deception and for acting as a real estate broker without a license. On Tuesday, his first court date since his June 14 arraignment, Musti's attorney, Ernest Preate Jr., secured a nearly two-month delay in proceedings by arguing his client needs an evaluation to determine his mental competency.

Unlicensed broker

According to a criminal complaint filed by county Detective Renee Castellani, Musti met with Robbins in May 2018. Robbins mentioned he struggled to pay his property taxes on his home, 830-832 Jefferson Ave.

The sale of Robbins' home started within about a month involving Florida Gator Properties LLC, a real estate investment and property management company Musti heads.

By June 20, 2018, Musti created two purchase and sale agreements that would see the property go from Robbins to Florida Gator Properties for $25,000 and from the property management firm to a buyer, Danny Daloya, 64, of Long Island, New York, for $40,000.

Had he bought the property and gained title first before selling it to Daloya at a higher price, that would have been legal, police said. Musti "jumped title" and created only one settlement document between Robbins and Daloya, meaning that he acted as a broker. Brokers must be licensed in Pennsylvania.

Musti took half his consulting fee, $7,500, from Daloya.

The July 17 closing happened at Attorney John Pesota' office, who represented Robbins.

Pesota, also a magistrate judge, told Castellani he had not met Robbins before the closing. Robbins told him his taxes were delinquent and he could not afford to keep the home.

Though they did not speak privately, Pesota said Robbins appeared to understand what was going on, Castellani wrote.

Pesota told Castellani that if he had an indication that Robbins was confused, he would have halted the sale. Robbins even asked questions, he said.

Robbins' mental state will be a point of contention in the case.

Mental health concerns

Detectives said they do not believe Robbins understood the implications of what he was doing.

An Aug. 27 evaluation by Dr. Mario Cornacchione, of the Northeastern PA Memory and Alzheimer's Center, found that Robbins has Alzherimer's disease and is susceptible to financial exploitation. He recommended full guardianship over his financial management.

"I do not believe he understood the implications of signing the sales agreement for his house," Cornacchione wrote.

Preate said he plans to challenge that. He pointed to the fact that Robbins drove at the time of the closing and has since appeared to be clear and lucid.

Daloya told The Times-Tribune that Robbins did not appear incapacitated.

The issue of Robbins' mental health first arose when workers hired to clean his house for its sale reported to the county Area Agency on Aging that almost all his belongings were gone the day of the closing.

Musti had put them up for auction for at least $12,500, police said.

The Area Agency on Aging filed an emergency guardianship order for Robbins on Aug. 23. The Advocacy Alliance was appointed his temporary guardian, eventually becoming his permanent guardian.

Robbins was placed in The Gardens of Greenridge assisted living facility in November, after he tried to sell his home again, police said. He remains there and is "incapacitated but stable," District Attorney Mark Powell said.

The house

Robbins still is listed as the owner of the Jefferson Avenue home. On Nov. 30, Judge Vito Geroulo issued a decree prohibiting the transfer of the property without the court's approval.

Daloya feels left out in the cold.

"Justice," Daloya said. "I want to see justice."

Daloya purchased the home after seeing an ad on Craigslist and being quoted a $40,000 price tag by Musti.

After meeting Robbins, Daloya said he enjoyed his company, felt bad for him and allowed him to remain in the home after the sale for as long as he wanted.

Though Robbins denied to detectives that he knew he sold his home, he did acknowledge that he "signed the home over" to Daloya, according to the complaint.

Geroulo's order prevents Daloya from taking ownership of the home. According to the complaint, Daloya wired $26,000 to the escrow account of Pittsburgh attorney Gregory Gerlach, who he used for the closing.

That money now sits in Preate's escrow account.

Preate said it is not a conflict to hold Daloya's money while he represents Musti because he is essentially just a "safety deposit box" and makes no decisions on it.

Daloya retained Scranton attorney Ann Marie Howells to petition the court to complete the real estate transaction. That case remains pending, according to court records.

Musti remains free on $50,000 unsecured bail. A preliminary hearing is scheduled for Aug. 13.

Musti faced other charges over the years.

In March 2017, he was sentenced to two years of probation for impersonating a police officer. He was a state constable at the time and said he had a bipolar disorder. In September 2007, a judge sentenced him to three years of probation for setting fire to a city home. He blamed his depression.

Contact the writer: jkohut@timesshamrock.com, 570-348-9144; @jkohutTT on Twitter.

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