A years-long dispute over a portfolio of commercial properties in Southern California that sparked credit concerns at several banks last year has led to a roughly $1.34 billion arbitration award.
Real estate owner Mohammad Honarkar was “fraudulently induced” into doing business with financier Mahender Makhijani, who breached part of their agreements when arranging financing for hotels, apartment complexes and other commercial real estate, the arbitrator, a retired state judge, concluded in a filing dated this month.
An attorney representing Makhijani didn’t immediately respond to a request for comment.
The amount of the award was based in part on the value ...