NEW BRUNSWICK -- A judge said Tuesday that Charles Kushner's prior criminal convictions cannot be brought up in front of a new jury in a trial involving his company over an unfinished $600 million redevelopment project along Perth Amboy's waterfront.
Superior Court Judge Vincent LeBlon ruled -- for the second time -- the real estate developer's convictions were irrelevant to the case, in which a mistrial was declared last week after an attorney accused the judge of "running the most unbalanced trial of his career."
"That was a personal conviction," LeBlon said in Middlesex Superior Court Tuesday afternoon before lawyers from both sides gave the opening statements again. "It was not a conviction linked to the Kushner Companies. Mr. Kushner is not a defendant."
Kushner handed over control of his company to his son, Jared Kushner, the son-in-law of Donald Trump, while serving two years in prison in 2005 for 18 criminal convictions, including tax evasion, witness tampering and illegal campaign donations.
The elder Kushner spearheaded the 2004 project in Perth Amboy that included a plan for 2,000 condos and townhomes across 17 buildings, as well as 200,000-square feet of retail space, acres of parks, a marina, a hotel, a community center and a gym.
Only two buildings and a gym have been completed 13 years later. Kushner has been subpoenaed and is expected to testify on Feb. 27.
"Did he (Charles Kushner) have any direct discussion with your client?" LeBlon asked Patrick Whalen, the attorney representing the condo owners, before ruling.
"No," Whalen responded.
LeBlon said he worried the jury could misuse the information and possibly rule against Kushner's business because his convictions could characterize him as a "bad person."
Whalen argued the conviction is part of the timeline in his case. He has said, citing the company's website, that Jared Kushner shifted the business to focus more on New York projects after taking control. Whalen had previously motioned to have Jared Kushner testify in the case, but LeBlon ruled that he did not have any unique knowledge involving the project.
The Kushner Companies also own the Monmouth Mall in Eatontown and a high-rise in Journal Square in Jersey City.
Patrick J. Perrone, the lawyer representing the Kushner Companies, said in his opening statement to a jury of six women and two men that the Landings Development was stalled due to the economic downturn in real estate in 2008.
Whalen argued that his clients "were tricked into buying their properties," and it was unfair for the company to keep the owners' down payments and deposits.
Only three condo owners of the original 33 Admiral and Bayview unit owners remain in the lawsuit after most of the others have accepted settlements for undisclosed amounts. Three Bayview owners are in arbitration.
On Friday, Civil Division Presiding Judge Jamie Happas ordered the case be heard in LeBlon's courtroom despite the judge declaring a mistrial.
"How do I go forward with those remarks from Mr. Walen?" LeBlon said last week.
The trial is expected to take at least a month. Also subpoenaed to testify is Perth Amboy Mayor Walda Diaz.
Craig McCarthy may be reached at CMcCarthy@njadvancemedia.com. Follow him on Twitter @createcraig and on Facebook here. Find NJ.com on Facebook.
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