Florida Landlord Charged with Excess Rent Charges, Violating HUD Rules
A Florida landlord has been charged with excess rent charges, violating HUD rules and contractual requirements. Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Marcia K. Cypen, Executive Director, Legal Services of Greater Miami, Inc. (LSGMI), announced the United States’ successful prosecution of several civil False Claims Act cases brought under the qui tam provisions of the False Claims Act, 31 U.S.C. §3730(b) against landlords participating in the United States Department of Housing and Urban Development’s (HUD) Housing Choice Voucher/Section 8 (HCV) Program who unlawfully received excessive rent subsidies known as Housing Assistance Payments (HAP).
According to court documents, during her brief tenancy, Newberry’s landlord, the Rev. Dr. George David Horton, collected $5,377.32 in rent from Ms. Newberry in excess of that specified in the HAP Contract and the rental agreement approved by the County’s HCV Program. A settlement was reached in this matter after the United States filed a Motion for Summary Judgment. There, the landlord who denied wrongdoing, paid to the United States $26,000 of which Ms. Newberry received, pursuant to the provisions of the False Claims Act, a Relator’s share of $5,377.32 and recovery of her legal expenses. During its investigation of the matter, the United States learned that Rev. Dr. Horton had also accepted at least $19,169.00 in excessive rents from another HCV tenant over a long period of time. In settlement of that matter, the landlord agreed to pay to the United States an additional $24,000.00.
The United States’ successful prosecution of this case demonstrates its commitment to protecting the integrity of federal housing programs and ensuring that landlords comply with HUD requirements and contractual obligations.
U.S. Attorney Wifredo A. Ferrer stated, “We will not tolerate abuse of federal housing or other programs. Schemes such as the ones uncovered in this case will be vigorously pursued and prosecuted to the fullest extent of the law.”
LSGMI Executive Director, Marcia K. Cypen, added, “This case highlights the importance of collaboration between the United States Attorney’s Office and community organizations in protecting the rights of vulnerable populations and ensuring that those who abuse the system are held accountable.”
George David Horton, a Florida resident, was charged with excess rent charges in 2011. The case was prosecuted by the United States Attorney’s Office for the Southern District of Florida. The United States’ successful prosecution of this case demonstrates its commitment to protecting the integrity of federal housing programs and ensuring that landlords comply with HUD requirements and contractual obligations.
The case number is 1:11-cv-20153-Graham. The settlement was reached in 2011 and the exact amount of the settlement is not disclosed.
Key Facts
- State: Florida
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release ↗
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