Three individuals and a company accused in a civil lawsuit of selling undeveloped land in Puna to Japanese nationals under fraudulent pretenses at inflated prices have filed a counterclaim against their accusers. ADVERTISING Three individuals and a company accused in
Three individuals and a company accused in a civil lawsuit of selling undeveloped land in Puna to Japanese nationals under fraudulent pretenses at inflated prices have filed a counterclaim against their accusers.
The April 21 counterclaim by Benfact U.S.A., its principals, Hiroshi Yamazaki and wife Katsuko Yamazaki, and Hiroshi Yamazaki’s son, Hisashi Yamazaki, accuses Toshiko Nishio, Yumiko Motoda and Tadao Motoda of filing a frivolous lawsuit, abuse of process and slanderous, libelous and defamatory statements.
The suit filed Feb. 12 in 3rd Circuit Court alleges the Yamazakis “deceptively induced” Nishio and her late husband, Tsuyoshi Nishio into buying an undeveloped lot in Hawaiian Shores at a price far above market value in 2006. It’s also alleged Toshiko Nishio later bought two more Puna properties from Benfact after her husband died at above market price and the Motodas bought a Hawaiian Shores property at an inflated price after Toshiko Nishio introduced them to Hiroshi Yamazaki.
“My clients’ position is that it’s a misunderstanding and the plaintiffs didn’t really try to resolve it with them. It’s a frivolous lawsuit. They filed the lawsuit and my clients were blindsided by it,” Andrew Daisuke Stewart, a Honolulu attorney representing Benfact and the Yamazakis, said Thursday. “They disagree with what was offered (in the lawsuit) or what sort of representations were made.”
Alleged “unfair and deceptive inducements” include “foreign ownership of real property was difficult,” that Benfact “was specially licensed and bonded by the U.S. Embassy for the purchase of property in Hawaii,” and the land “was being sold far below market value.” It was also alleged Hiroshi and Katsuko Yamazaki acted as agents in transactions and failed to disclose their ownership of properties.
The counterclaim states on or about Aug. 23, 2013, Yumiko and/or Tadao Motoda posted written statements to a Japanese-language website accusing Benfact of fraud. Alleged statements include “Benfact had previously sold real estate to numerous other Japanese citizens under the name ‘Hilo Hawaiian’ resulting in numerous other fraud victims.” The statements were allegedly “made in a negligent manner … with the intention of causing harm to counterclaimants.”
“It’s just a general, sweeping statement that they were victims of fraud by my clients,” Stewart said. “There’s no real detail. There’s just a general accusation of fraud.”
According to the counterclaim: “As a result of the defendants’ Internet postings and oral representations to third parties accusing counterclaimants of fraud, Benfact’s business and reputation has suffered and Hiroshi, Katsuko, and Hisashi’s personal reputations have also suffered.”
Hiroshi and Katsuko Yamazaki are Japanese nationals and part-time Hawaii residents. Hisashi Yamazaki is a U.S. citizen who lives in Puna.
Email John Burnett at jburnett@hawaiitribune-herald.com.
