LHP Management, LLC

APPLICANT/RESIDENTFRAUD POLICY

Purpose:

This policy is designed to increase awareness by all residents and applicantsat Property nameApartment Community of theirresponsibility for reporting suspected fraud. The creation and implementation of, and adherence to, this fraud policywill help assure that the highest standards of professional ethics are maintained by preventing, identifying and reporting fraud.

Scope:

Fraud encompasses an array of irregularities and illegal acts characterized by intentional deception. For practical purposes fraud may be defined as the use of deception with the intention of obtaining an advantage, avoiding an obligation or causing loss to another party. These include, but are not limited to such activities as:

  • False statements from tenants
  • Tenant misrepresentation of income
  • Bribery
  • False claims
  • Theft
  • Forgery or alteration of documents
  • Destruction or concealment of records

LHP Management, LLCrequires all employees at all times to act honesty and with integrity and to safeguard the resources for which they are responsible. Fraud is an ever-present threat to these resources and hence must be a concern to all members of staff. The purpose of this statement is to set out your responsibilities with regard to the prevention of fraud.

Confidentiality:

Any and all investigations of fraud or other criminal activity will not be disclosed except to the appropriate lawenforcement authorities. Management will not retaliate against residents or employees who report fraud, criminal activity, or other program irregularities.

Responsibilities:

The Community Manager, under the direction and supervision of the Regional Manager, has the primary responsibility for the investigation of allsuspected resident/applicant fraudulent acts as defined in the policy. If the investigation substantiates thatfraudulent activities have occurred, the Community Manager will issue reports tothe Regional Manager and, if appropriate, to the law enforcementand/or regulatory agencies for independent investigation. Investigations, including the rights to obtain and examine any and all applicable records,will be made in conjunction withlegal counsel and senior management, as will final decisions on disposition of the case.

Penalties:

Applicants and/or Residents:

If you commit fraud to obtain assisted housing from HUD, you could be:

  • Evicted from your apartment or house
  • Required to repay all overpaid rental assistance you received
  • Fined up to $10,000
  • Imprisoned for up to five years
  • Prohibited from receiving future assistance
  • Subject to State and local government penalties

Due Process:

Management will review allrecommendations for evictions and cancellations of subsidies due to tenant fraud and the tenant will be accorded full due process of law.

Fraud Reporting Requirements:

Suspected fraud or relatedcriminal activities can be reported to:

HUD OIG Hotline, GFI

451 7th Street, SW

Washington, DC20410

Telephone: 1-800-347-3735 or

Email:

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