Ocupaciones. Datos más relevantes

Martin Shulman, owner of S.G.B. Management, Inc. (SGB), a management agent for six HUD-insured and subsidized multifamily properties; his wife, Gail Shulman; and SGB office manager Keyetta Williams were each indicted in U.S. District Court, Cleveland, OH, for equity skimming, theft, money laundering, obstructing a Federal audit, and mail and wire fraud. The above defendants allegedly claimed nonexistent tenants and fraudulently obtained more than $1.4 million in HUD housing assistance payments, used about $1 million in property equity for their personal benefit, and caused HUD losses of more than $5 million after two FHA-insured mortgages defaulted. Total HUD losses are estimated at $7.4 million.

Frank DeSantis, president of the Community Partnership Development Corporation (Community), a HUD-funded nonprofit administering a $16.9 million Low Income Housing Preservation and Resident Homeownership Act grant, pled guilty in U.S. District Court, Los Angeles, CA, to obstructing a Federal audit. DeSantis provided fraudulent time sheets and fictitious certifications in an attempt to support nearly $3.2 million in overstated and unapproved construction fees paid to Community employees during the rehabilitation of three multifamily housing developments.

Wynee Joyner, a principal of the National Housing Group, Inc. (NHG), a HUD contract oroverseeing the management and maintenance of HUD-owned multifamily housing developments, was arrested and charged in U.S. District Court, New York City, NY, with conspiracy and mail fraud. Joyner allegedly instructed NHG employees to submit about $500,000 in false claims to HUD in an effort to circumvent NHG contract terms and obtain HUD reimbursements before paying third-party vendors.

Iris Baez, the former board president for Co-Op City, a HUD-funded 15,372 unit multifamily housing development, and Nickhoulas Vitale, also known as Nicky Vitale, a former Co-Op City painter, each pled guilty in U.S. District Court, New York City, NY, to bribery. Baez was sentenced to 6 months incarceration

and 1 year supervised release and ordered to forfeit $10,000. Baez obtained $10,000 in kickbacks after she and others awarded a $3.5 million painting contract to Vitale’s current employer, Stadium Interior Painting.

Kimberly Campbell, a former administrative assistant for Kenneth Court Apartments, a HUD-funded multifamily housing development, and Antwan Busby, Ottis Levine, and Lionell Bradley were each charged in Thirteenth Judicial Circuit Court, Tampa, FL, with conspiracy to commit armed robbery, committing a robbery with a firearm, armed burglary of a dwelling with a firearm, aggravated battery with a deadly weapon, grand theft, or possession of a firearm during the commission of a felony. The above defendants allegedly conspired and stole about $3,000 in utility assistance payments from Kenneth Court Apartments.

Joseph Driscoll, a former maintenance director for ARCO Management Company, a former HUD contractor overseeing the management and maintenance of HUD-owned multifamily housing developments, pled guilty in U.S. District Court, New York City, NY, to committing mail fraud. Driscoll and others submitted fake bids to facilitate a HUD-funded window replacement contract award to a specific company.

Rental Assistance Fraud

Six former Section 8 tenants at Mandela Homes Apartments, a HUD-funded multifamily housing development, were each charged in U.S. District or Boston Municipal Courts, Boston, MA, or West Roxbury District Court, Jamaica Plain, MA, with making false statements, theft of public money, larceny over $250 by a single scheme, misuse of a Social Security number, or identity theft. The above defendants allegedly failed to report income, assets, or accurate identification information on housing certifications and collectively obtained $252,126 in housing assistance they were not entitled to receive.

Hong Le, a Section 8 tenant at El Rancho Verde Apartments, a HUD-funded multifamily housing development, and An Quang Nguyen, an unauthorized resident with Le, each pled nolo contendere in Santa Clara County Superior Court, San Jose, CA, to grand theft. Nguyen was sentenced to 6 months incarceration, ordered to pay HUD $80,356 in restitution, and fined $450. Le allegedly failed to report Nguyen's residency on housing certifications and obtained $80,356 in housing assistance she was not entitled to receive.

Five Section 8 tenants at Coral Gardens Apartments (Coral Gardens), a HUD-funded multifamily housing development in Homestead, FL, were arrested on probable cause for committing public assistance fraud, possession of marijuana with the intent to distribute, or outstanding warrants. The above defendants allegedly failed to report income or unauthorized residents on housing certifications and obtained about $49,583 in housing assistance they were not entitled to receive. In addition, MariaVazquez, a former Coral Gardens Section 8 tenant, was sentenced to 2 years supervised probation, ordered to pay HUD $10,386 in restitution, and fined $498 for her previous conviction of public assistance fraud and grand theft, and Ernesto

Rodriguez, an uncooperative witness in the Vazquez trial, was arrested on an outstanding warrant for failure to appear, trespassing, and disorderly conduct. Collectively, the above defendants caused HUD losses of $59,979.

Jeri Hill, a former Section 8 tenant at Glenridge Cooperative Apartments, a HUD-funded multifamily housing development, was indicted in U.S. District Court, San Francisco, CA, for making false statements to HUD. From January 2003 through October 2007, Hill allegedly failed to report income on housing certifications and obtained about $56,000 in housing assistance she was not entitled to receive.

Kathy Lovett, a former Section 8 tenant at Woodridge Homes Apartments, a HUD-funded multifamily housing development, was charged in Lawrence District Court, Lawrence, MA, with larceny over $250. From January 1999 to November 2006, Lovett allegedly failed to report income on housing certifications and obtained $47,600 in housing assistance she was not entitled to receive.

Eddie Speller, a New York City Department of Housing and Preservation Development Section 8 tenant and New York City police officer, pled guilty in U.S. District Court, New York City, NY, to theft of government funds. Speller failed to report income on housing certifications and obtained about $30,000 in housing assistance he was not entitled to receive.

Nikita Nelson-Smith, a former Section 8 tenant at Watts Arms I, a HUD-funded multifamily housing development, was charged in Los Angeles County Superior Court, Los Angeles, CA, with filing a false or forged instrument. Nelson-Smith allegedly failed to report assets or her nonresidency in her subsidized unit on housing certifications and obtained more than $17,946 in housing assistance she was not entitled to receive.

Ellen Yoder, a former Section 8 tenant at Hillside Village Apartments, a HUD-funded multifamily housing development, was sentenced in U.S. District Court, Williamsport, PA, to time served and 12 months supervised release and ordered to pay HUD $8,090 in restitution for her earlier guilty plea to making false statements to HUD. Yoder concealed her criminal history on housing certifications and obtained $8,090 in housing assistance she was not entitled to receive.

Rachel Klotz, a manager for Park Seven Apartments (Park Seven), a HUD-funded multifamily housing development, was indicted in Johnson County District Court, Olathe, KS, for making false writings. In addition, Gayle Rapp, a former Park Seven Section 8 tenant, entered into a pretrial diversion agreement and was sentenced to 12 months probation, was ordered to pay court costs of $323, and agreed to pay Park Seven $1,206 in restitution. Klotz allegedly failed to report tenant income on HUD certifications in an attempt to

allow tenants to maintain their housing assistance eligibility, and Rapp admittedly failed to report income on housing certifications and obtained $1,206 in housing assistance she was not entitled to receive. Collective HUD losses are not yet determined.

Other Fraud/Crimes

Patrick Crislip, a former HUD multifamily construction analyst, was sentenced in U.S. District Court,

Kansas City, KS, to 5 months incarceration, 5 months home detention, and 2 years probation and ordered to

pay HUD $30,000 in restitution for his earlier guilty plea to conspiracy to conceal a conflict of interest. Crislip entered into a renovation and cleaning contract and obtained $49,900 from Alpha Property Management, Inc., a HUD multifamily management agent for Sunflower Park and Silver City Apartments, at the same time he conducted official HUD rehabilitation inspections at the multifamily housing developments identified above.

Chapter 4