Fraud

Fraud has a devastating effect on Department of Housing and Urban Development (HUD)’s assisted rental housing programs. The Office of Inspector General wants to drive fraud out of HUD-assisted rental housing and is working closely with HUD management to rid the assisted rental housing programs of fraud.

The Housing Authority of Lancaster (HAL) is committed to protecting the integrity of the housing programs that it administers and ensures that benefits are received only by eligible households and participating owners in accordance with federal regulations.

Fraud is a criminal act in which individuals, groups, or businesses steal taxpayers’ monies from HUD and its programs. Tenants who make false statements regarding their income or family size, or alter official documents, are committing fraud. HUD-assisted rental housing employees who engage in bribery, contract bid rigging, embezzlement, or who alter, forge or destroy records are committing fraud.

Fraud, may include but is not limited to such activities as:

• False statement from tenants or employees
• Tenant misrepresentation of income
• Bribery or kickbacks
• False claims or bid rigging
• Theft or embezzlement
• Forgery or alteration of documents
• Destruction or concealment of records
• Profiting from insider knowledge or a conflict of interest

Examples of owner fraud include:

• Accepting housing assistance payments for properties that one does not own or represent as the legal agent.
• Accepting housing assistance payments for vacant apartments/homes.
• Requesting rent payments from tenants in excess of the amount stated in the lease.
• Renting to relatives without prior approval from the Housing Authority.

Examples of voucher holder or  resident fraud include:

• Not reporting income or total amount of income.
• Subletting a subsidized apartment/home.
• Having a voucher issued by the Housing Authority and another agency/owner.
• Allowing people not on the lease to live in the apartment