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A Texas man who rented a trio of condemned North Adams properties out under “lease-to-own” deals is facing a $60,000 fine under a settlement obtained by Attorney General Maura Healey’s office.

David Buttross, through a pair of companies named AngleFund Inc. and DTH-REO Inc., bought at least 13 previously-foreclosed homes in the Berkshires town and elsewhere in the state starting in 2016 and leased them to consumers under “contract for deed” arrangements. According to the attorney general’s office, renters were given the option to purchase the property outright later but “had little chance of being able to afford ownership of the homes.” In addition, “many” of the homes in question had significant health code violations, Healey’s office said, and some were even condemned, making the leases a violation of state law. In addition, because Buttross’ companies let tenants convert these “contract for deed” arrangements into seller-financed mortgages, but did not provide the required disclosures nor do an analysis of buyers’ ability to repay, the firms broke state and federal law.

Once signed onto to the leasing contracts, Healey’s office claimed, Buttross transferred the costs for repairs and maintenance onto his tenants and required them to pull any city permits necessary to maintain or restore the property. In addition, prosecutors say, Buttross didn’t tell his tenants about the homes’ code violations or condemnations and specifically sought out tenants with low income or poor credit scores.

Under the terms of the settlement, AngleFund and DTH must pay $60,000 in restitution to the tenants harmed and give them the option of taking full ownership of AngelFund’s properties, with the company paying any outstanding properties or fees before transferring the deed. The attorney general’s office said it has also secured a court order banning both companies from buying properties, originating new mortgages or doing business in Massachusetts.

“These companies created immense financial and emotional hardships for hopeful homebuyers in Massachusetts,” Healey said in a statement. “We are very pleased to secure relief for the families affected, including providing an opportunity for home ownership, and stop these companies from doing business in Massachusetts again.”