Arnulfo Castillo charged in alleged real estate scheme targeting Hispanics

A Rockville Centre real estate broker allegedly targeted the Hispanic community to defraud families hoping to make money investing in Long Island real estate, purportedly ripping off $100,000 from multiple people, charges filed in Nassau County District Court on Tuesday show.

And prosecutors believe there could be more victims.

Arnulfo Castillo pleaded not guilty Tuesday afternoon to counts of second- and third-degree grand larceny and two counts of a scheme to defraud in the first degree and was released without bail.

The Legal Aid Society of Nassau County, which is representing him, declined to comment.

Nassau County prosecutors said during their year-and-a-half investigation into Castillo and his company, Castillo Acquisitions, they found he seduced investors with promises of high returns from buying, restoring and flipping homes, but he pocketed the investment money without ever purchasing the properties.

A developer gave him $40,000 in August 2024 as a down payment for the purchase of a single-family home on Cambria Street in Uniondale, according to the Nassau County District Attorney’s Office.

The hopeful buyer signed a sales contract a month later, hoping to close the deal by November, prosecutors said.

The closing date came and went, but Castillo and his company never made good on the sale, according to court records. He dodged the buyer and refused to refund the money, according to the district attorney.

Prosecutors discovered Castillo never owned the property and could never have made any legitimate sale of the home.

That same August, he promised a business associate a piece of a home renovation and sale on Grant Avenue in Mineola, according to records. The investor ponied up $60,000 with the promise from Castillo that the acquaintance would get a $3,000-a-month return on the investment for six months and then be reimbursed the full amount, prosecutors said.

Instead, Castillo put the money in his own accounts and used it for other business expenses, leaving the investor holding the bag, according to the district attorney.

Investigators found after looking into the business deal that Castillo never owned the property.

“This defendant allegedly pocketed victims’ investment money after promising substantial returns on residential properties he did not even own,” Nassau District Attorney Anne Donnelly said in a statement. “Arnulfo Castillo a/k/a Alexander Castillo Carias Arnulfo allegedly preyed on the trust of the Latino community, using local organizations as a smoke screen to exploit families looking for legitimate investment opportunities. We believe there may be more victims, and I urge anyone who thinks they were targeted by this defendant to contact my office.”

Donnelly asked anyone who believes to be a victim to reach out to the Criminal Complaint Unit at 516-571-3505.

There are at least a dozen lawsuits filed against Castillo and Castillo Acquisitions in state civil court that make similar charges of real estate fraud.

Castillo faces 5 to 15 years in prison if convicted. He is due back in court on July 15.