HomeloansN.Y. AG files lawsuit vs. solar company with Staten Island ties alleging...

N.Y. AG files lawsuit vs. solar company with Staten Island ties alleging fraudulent practices

STATEN ISLAND, N.Y. — New York State Attorney General Letitia James filed a lawsuit Tuesday against solar panel company Attyx as well as its lending partners, accusing the companies of defrauding thousands of New Yorkers with misleading sales tactics.
Although the lawsuit does not cite any specific Staten Island dealings, a prior civil case filed by a New Springville couple included allegations that echo claims made in the attorney general’s filing.
James’ lawsuit names as defendants Attyx, formerly known as Sunco, along with its two chief executive officers and lending companies Solar Mosaic and WebBank.
According to the lawsuit, Attyx targeted consumers with advertisements promising free or reduced-price solar power systems and roof repairs, claiming government incentives and programs would cover installation costs.
An investigation found the company generated an estimated $275 million through this alleged scheme in New York, James said.
“Attyx preyed on vulnerable and elderly homeowners with false promises and predatory tactics, leaving them with crushing loans they could not afford,” said James. “My office will fight in court to bring these companies to justice and deliver relief to the thousands of New Yorkers who were ripped off by this illegal scheme.”
The attorney general alleges Attyx violated consumer protection laws by misleading customers about costs and falsely claiming they would receive free roof replacements through solar tax credits.
The lawsuit also alleges Attyx continued operating under the name LGCY Power after the New York Public Service Commission ordered the company to stop marketing solar systems to state consumers in 2025.
With this lawsuit, James is seeking restitution and damages for consumers, an order voiding Attyx’s and the lenders’ agreements with consumers, an injunction barring Attyx and its partners from continuing the alleged fraudulent conduct in the future, as well as civil penalties.
Staten Island couple’s lawsuit
In a separate civil complaint filed in state Supreme Court, St. George, a New Springville couple claimed that what began as talk of big savings from a salesman at their home turned into a pile of unexpected bills.
The couple alleged that during multiple meetings at their home in 2022 with a Sunco sales rep, they were told solar panels would essentially “eliminate” their Con Edison bill.
They were told that to “satisfy their utility usage,” they would need seven panels which would be sufficient to power a 1,500 sq. ft. property, according to the lawsuit.
Leonard Policastri, 66, claimed he told the rep that he had previously had a different company assess his roof to determine if solar power was feasible.
He claimed the previous company had advised him that because there was not enough roof space to accommodate more than seven panels, it would not provide the necessary solar energy to power the entire 1,500 sq. ft. property.
But the rep assured them that Sunco’s panels were the most up to date and efficient, and strong enough to not only power the entire home, but also heat their pool and theoretically an electric stove, the lawsuit alleges.
Policastri and his wife, Rhonda, 62, who also was named as a plaintiff in the suit, were led to believe the solar system would essentially eliminate their Con Edison bills, according to the complaint.
In March 2023, Sunco’s contractors put up the panels, but as it turned out, they did not come close to generating enough power for the house, the lawsuit alleges.
In fact, Gary DeFilippo, the couple’s attorney, claimed in court filings that it would take 16 panels to sufficiently power the property and reduce, not eliminate, Con Edison bills.
ATTYX was ordered last summer to reimburse the New Springville couple.
The company has denied any wrongdoing in that case in court documents, arguing the homeowners knowingly and willingly signed their agreement.
Complaints against solar industry
In August, NPR reported that customer complaints against the residential rooftop solar industry have increased dramatically in recent years.
One-star ratings on Solar Reviews, according to the report, have spiked more than 1,000% since 2018.
Complaints of high-pressure sales tactics and misleading financing arrangements have spurred criminal investigations by prosecutors across the country.

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