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Lexington landlords pay $850,000 to settle decades-long sexual harassment lawsuit

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(LEX 18) — Two Lexington landlords will pay $850,000 and face permanent restrictions after the U.S. Department of Justice accused them of sexually harassing female tenants for more than 20 years.

The federal settlement involves Adnan and Mohammed Shalash, who prosecutors say made unwelcome sexual advances to women renting their properties and suggested exchanging sexual favors for reduced rent. The lawsuit also alleges the men entered tenants' homes without permission and retaliated against women who refused their advances or complained by evicting them.

The settlement names 18 defendants total, including multiple family members and LLCs like Fox Den Properties and Happy Tenants.

While the defendants deny the allegations, they agreed to extraordinary restrictions as part of the settlement. Both men are now permanently banned from managing rental properties or even being within 50 feet of any occupied building they own. Independent managers must handle all tenant contact going forward.

The agreement also requires fair housing training, new anti-discrimination policies and five years of federal oversight.

Victims will share the settlement fund, and those who faced retaliatory evictions will have their rental records cleared.

The Justice Department is still identifying victims who may be entitled to compensation. Current or former tenants of these properties who believe they were affected can contact federal authorities.