Trial for breach of trust | A city manager allegedly “settled” files for a real estate developer

Without knowing that he was speaking with an undercover agent, a wealthy real estate developer boasted of having a corrupt manager at the City of Montreal in his pay. His “guy” would thus have maneuvered to wipe out the illegal transformation of a residential building.

An undercover agent poses as a corrupt official from the City of Montreal. His target: businessman Tinel Timu, a real estate leader in Montreal. The police officer records the conversation.

“Sadek, we’ve been working together for 10 years. He is capable of doing anything for money. He’s just coming to our house this evening to pick up some files that he settled for me,” the businessman boasts.

These remarks were admitted into evidence Monday at the opening of Sadek Lazzouzi’s trial at the Montreal courthouse. The 54-year-old man is accused of breach of trust by a public official. He was arrested by the Permanent Anti-Corruption Unit (UPAC) in September 2022. He was head of the permits and inspections division of the Mercier–Hochelaga-Maisonneuve district.

According to the prosecution’s theory, Sadek Lazzouzi would have illegally intervened on behalf of real estate developer Tinel Timu – murdered in April 2023 – to close a case of non-compliance with municipal regulations. At the time, Tinel Timu owned over 700 residential units.

Read the article “Laval: a controversial real estate developer shot dead”

At the heart of the trial: the building at 2735, avenue Bourbonnière, near the Olympic Stadium. In 2015, a Tinel Timu company acquired the eight-unit building. All tenants are evacuated due to damage caused by the demolition of a neighboring building. Renovation work was authorized by the district in December 2016.

While visiting the work, district inspector Renaud Allard was surprised to see 16 water heaters, 16 electrical panels and 16 doorbells, even though the building must have eight housing units. “It became a 16-unit apartment,” he summarizes. However, this transformation was prohibited by zoning regulations.

Once the work was completed in 2018, the inspector noted that the fixes had not been carried out. “There were 16 door numbers,” he summarizes.

Close the file without corrections made

The district issues a violation report for non-compliance, which is contested by the owners. In November 2021, the municipal court ruled in favor of the borough.

Enter Sadek Lazzouzi, who recently became head of the district’s inspections. At the trial, Renaud Allard recounts that the accused asked him in January 2022 to “close” the file at 2735 Bourbonnière, even if the corrections had not been made following the judgment.

“He judged that the inspection workload (in the borough) was significant. There was no security aspect,” Mr. Allard testified.

In his experience, irregularities must be corrected to close a file.

Nevertheless, he complied and closed the file.

According to notarial deeds consulted by The PressTinel Timu bought the building for $420,000 in 2015 and resold it for $2.5 million in August 2021.

“I have to give the green light for him to talk to someone”

UPAC did not skimp on investigative resources. Under surveillance, the accused was seen at the residence of Tinel Timu in February 2022. The latter also communicated with the accused on two occasions, the parties admit.

An undercover agent posed as a corrupt official to approach Tinel Timu in December 2021. He then wore a discreet listening device. The undercover agent had visibly gained the trust of Tinel Timu, since the latter told him that the “Bourbonnière” file was “under control”.

The real estate developer portrayed Sadek Lazzouzi as “(his) guy.” He then invited the undercover agent to come see his accomplice at his office. “Sadek, he’s like that, I have to give him the green light so that he can talk to someone,” said Tinel Timu.

“After that, you talk together about all the files you want. Arrange however you want. He gives it to you, you give it to him,” explained Tinel Timu.

In February 2022, the undercover agent met Sadek Lazzouzi in a Botanical Garden parking lot and asked him what he could do about a $12,500 report for a demolition.

“Sadek tells him that the best thing to do is to consult him or tell him in advance. When it’s made too big, it doesn’t go unnoticed,” according to the admissions.

The accused was arrested a few minutes later.

The trial continues this Tuesday before Judge Salvatore Mascia. M^e Sarah-Audrey Daigneault represents the public prosecutor, while M^e René Verret defends the accused.

A third co-defendant, Elena Cristina Abrudan, who worked with Tinel Timu, has already pleaded guilty to one count of corruption. In 2021, she insisted on giving an envelope of money to a City inspector who had noted several glitches during work on a building owned by Mr. Timu. When the inspector discovered $1,000 in the envelope, he immediately informed his superior. This is what launched the UPAC investigation.