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ORANGE COUNTY <br /> HOUSING ASSISTANCE PAYMENTS PROGRAM <br /> 317 CALDWELL.ST EXT. CHAPEL HILL NORTH CAROLINA 27514 <br /> Dear <br /> The Department of Housing and Urban Development (HUD) has conveyed to us its <br /> serious concerns about violations of the Section 8 Existing Housing Program require- <br /> ments. The HUD Office of Inspector General (IG) has recently identified cases of fri <br /> by Public Housing Agencies (PHAs) and their employees, owners/managers, and tenants <br /> participating in the Section 8 Existing Housing Program. <br /> In order that the Department may provide Section 8 housing assistance to as <br /> many needy families as possible, all participants in this HUD sponsored program <br /> must properly utilize Government funds and follow Departmental policy requirements. <br /> Incidences of fraud, willful misrepresentation, or intent to deceive with regard <br /> to the Section 8 Existing Housing Program are criminal acts. If you are suspected <br /> of committing any fraudulent actions, we are required to refer the matter to the <br /> proper authority for appropriate action. This could lead to an investigation of <br /> the allegation and could result in your being accused of a Federal crime. You could <br /> also be terminated from participation in the program. <br /> Some examples of fraud involving owners/managers identified by the IG's <br /> investigation included: <br /> 1. Requiring extra ("side") payments in excess of the family's <br /> share of the rent. As you know, any payment in excess of the <br /> rent must receive prior approval by us. <br /> 2. Collecting assistance payments for units not occupied by Section <br /> 8 tenants. <br /> 3. Bribing PHA employees to certify substandard units as standard. <br /> We urge you to report any violations of the Section 8 Existing Housing Program. <br /> These violations should be reported immediately rather than to continue in non- <br /> compliance with program requirements. <br /> If you know of any violations or fraud committed by other persons, including <br /> PHA employees, tenants, or other owners, please contact Mary J. McCallister at 968- <br /> 4556. Also, please contact the Section 8 Staff if you have any questions. <br /> In addition, we are writing to tenants who are receiving Section 8 Housing <br /> Assistance Payments requesting their assistance in preventing abuses of this program. <br /> We will take any action warranted to ensure that cases of fraud are prevented or <br /> prosecuted and are working with HUD to accomplish this task. <br /> Thank you for your cooperaIjon, <br /> wen/ <br /> Mary J McCallister <br /> Housg Programs Manager <br /> MJM:bbm <br /> PFACMIC <br />