17 people had been arrested for scamming the government through fraudulent collections of subsidies from Section 8 housing program.
According to nypost.com, Department of Investigation was able to arrest a total of 39 people who collected public housing subsidies for this year amounting to a total of $1.4 million.
Comptroller Scott Stringer said "These fraudsters engaged in the most reprehensible kind of conduct - stealing scarce housing resources from our most vulnerable citizens while at the same time lining their own pockets."
11 out of 17 people have been concealing the real income ad even identity of a family member so they will be qualified to claim subsidies from the government. Others have been hiding their relationship between landlord and renters "and illegally renting out a subsidized apartment to a friend."
DOI Commissioner Mark Peters said "This pernicious fraud undermines government's efforts to ensure affordable housing for some of the most vulnerable in New York City."
According to homeforward.com, Section 8 housing program is also known as Housing Choice Voucher Program and being subsidized by the government. Families with low- income can apply for their eligibility through Home Forward and get rent assistance voucher. Once approved, the tenant can now choose from the available rental property in their area and negotiate the terms with their landlords. Once the payment terms were set, the renter usually only have to pay 28.5 percent of their income while the government will pay for the outstanding or remaining balance of their rent.
The Section 8 housing program has been serving a great purpose for people who need more houses but others have been taking advantage of the program. Since the program pays the majority of the subsidized families' rents, some beneficiaries are keeping their eligibility through fraud.
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