NEWARK – The Justice Department announced today that a landlord who has owned hundreds of rental units in and around Elizabeth, New Jersey, has agreed to pay $4.5 million in monetary damages and a civil penalty to resolve a Fair Housing Act (FHA) lawsuit concerning his sexual harassment of tenants and housing applicants for more than 15 years. This settlement, which still must be approved by the United States District Court for the District of New Jersey, is the largest monetary settlement the Department has ever obtained in a case alleging sexual harassment in housing.
The FHA prohibits discrimination on the basis of sex, which includes sexual harassment and discrimination on the basis of sexual orientation and gender identity. He focused his harassment on women and gay or bisexual men. The monetary damages awarded under the proposed consent decree will compensate the many women and men who were sexually harassed by him.
“The need for housing is a basic human need,” Acting U.S. Attorney Rachael A. Honig of the District of New Jersey said. “[He] exploited that need, and the important federal programs that attempt to meet it, by threatening to deny his victims a roof over their heads if they did not submit to his demands for sexual acts. This landmark settlement demonstrates our unyielding commitment to combat sexual harassment in housing and to ensure that no one is subject to discrimination because of their sex, including based on their sexual orientation or gender identity.”
“This lawsuit and settlement send a clear message that the Department will not stand for landlords who ruthlessly abuse their power to prey on vulnerable members of our society,” Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division said. “Having recently marked the fourth anniversary of the launch of the Department’s Sexual Harassment in Housing Initiative, we stand as committed as ever to aggressively pursue those who engage in this abhorrent conduct.”
“No one deserves to be victimized and preyed upon in their own home,” Department of Housing and Urban Development Inspector General Rae Oliver Davis said. “HUD OIG is committed to investigating with our law enforcement partners to pursue predatory landlords and hold them accountable for this egregious behavior and seek relief for victims.”
The United States’ lawsuit alleged that his harassment spanned a period of at least 15 years. According to the complaint, he demanded sexual favors like oral sex, to get or keep housing; offered housing benefits, such as reduced rent in exchange for sexual favors; touched tenants and applicants in a way that was sexual and unwelcome; and made unwelcome sexual comments and advances to tenants and applicants. The complaint also alleged that he initiated or threatened to initiate eviction actions against tenants who objected to or refused his sexual advances. According to the complaint, his participates in the federal Housing Choice Voucher Program (also known as Section 8) and receives approximately $102,000 each month in Housing Choice Voucher payments.
Under the terms of the proposed consent decree, he will pay $4.39 million in monetary damages to tenants and prospective tenants harmed by his harassment, through a process established in the consent decree. Individuals who believe that they were subjected to sexual harassment by him should contact the Housing Discrimination Tip Line toll free, at 1-833-591-0291, and select option number one to leave a message. Individuals can also contact the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339. Individuals may also e-mail the Justice Department at fairhousing@usdoj.gov, or submit a report online.
The proposed consent decree reflects that he has sold all of his residential rental properties. Under the terms of the settlement, he is permanently enjoined from owning and managing residential rental properties in the future. He will be required to dismiss housing court judgments obtained in proceedings deemed to be retaliatory and take steps to repair the credit of any affected tenants. He must also pay a $107,050 civil penalty to the United States, the maximum civil penalty allowed under the FHA.
There are separate, ongoing, criminal prosecutions against him brought by the Office of the Union County, New Jersey, Prosecutor. To date, that office has charged him with coercing 20 tenants into sexual acts in exchange for financial relief. He is charged with 13 counts of second-degree sexual assault, one count of second-degree attempted sexual assault, and 21 counts of fourth-degree criminal sexual contact. Individuals may learn more about the criminal prosecution at https://ucnj.org/prosecutor/press-releases/prosecutor/2021/07/01/elizabeth-landlord-charged-with-sexual-crimes-against-7-additional-tenants-bringing-total-to-20/. Individuals with information about He may reach the Union County Prosecutor’s Office by contacting Detective Joanne Son at (908) 477-1698.
Acting U.S. Attorney Honig and Assistant Attorney General Clarke credit the special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, for their partnership in this matter.
The Justice Department launched its Sexual Harassment in Housing Initiative in October 2017. The Department’s Initiative is led by the Civil Rights Division, in coordination with U.S. Attorney’s Offices across the country. The goal of the Initiative is to address and raise awareness about sexual harassment by landlords, property managers, maintenance workers, loan officers, or other people who have control over housing. Since launching the Initiative, the Department of Justice has filed 23 lawsuits alleging sexual harassment in housing and recovered over $9.5 million for victims of such harassment.
If you think you are a victim of sexual harassment by a landlord, or other forms of housing discrimination, you may contact the Justice Department by submitting a report online or contacting the United States Attorney’s Office for the District of New Jersey at (855) 281-3339 or by filing a complaint online.
Reports also may be made by contacting the U.S. Department of Housing and Urban Development at 1-800-669-9777 or by filing a complaint online.
The United States is represented by Assistant U.S. Attorney Michael E. Campion, Chief of the Civil Rights Unit; Assistant U.S. Attorney Susan Millenky, Civil Rights Unit; Trial Attorney Erin Meehan Richmond, Sexual Harassment Counsel and Coordinator of the Civil Rights Division’s Housing and Civil Enforcement Section; and Katie Legomsky, Trial Attorney, Housing and Civil Enforcement Section.
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