We audited the Benton Harbor Housing Commission's (Commission) Public Housing Captial Fund program (program). The audit was conducted based upon a request from the U.S. Department of Housing and Urban Development's (HUD) Detroit Office of Public Housing. Our objectives were to determine whether the Commission operated its program in a manner that provides reasonable assurance that (1) expenditures were adequately supported and eligible and (2)…

We audited the Housing Authority of the City of Gary's (Authority) Section 8 housing program. The audit was part of the activities in our fiscal year 2005 annual audit plan. We selected the Authority based upon a risk analysis the identified it as having a high risk Section 8 housing program. The objective of the audit was to determine whether the Authority managed its Section 8 program in accordance with the U.S. Department of Housing and…

We audited the Kankakee County Housing Authority's (Authority) Low-Rent Housing Program. The audit was conducted in response to a citizen's complaint to our office and was part of our comprehensive audit of the Authority. The object of our audit was to determine whether the Authority administered its Low-Rent Housing program in an efficient and effective manner. We determined whether the Authority had adequate procedures and controls over its…

We audited American Property Financial (American), a nonsupervised loan correspondent approved to originate Federal Housing Administration mortgage loans under the U.S. Department of Housing and Urban Development's (HUD) Single Family Direct Endorsement Program. American originated 83 Federal Housing Administration loans between February 1, 2002, and January 31, 2004. As of February 23, 2004, 14 of the 83 loans were in default status. Synergy…

We completed an audit of the Kankakee Count Housing Authority's Section 8 Housing Program. The audit was conducted based upon a citizen's complaint to our Office. The objectives of our audit were to determine where the Authority: (1) administered its Section 8 Program in an efficient and effective manner; and (2) provided decent, safe, and sanitary housing for its Section 8 tenants. This audit is part of our on-going comprehensive audit of the…

CHICAGO — A former property director for the Chicago Housing Authority was given more than $421,000 in kickbacks from the owner of a construction company in exchange for steering that owner more than $4.8 million in construction and renovation work at CHA properties, according to an indictment returned today in federal court in Chicago. The indictment accuses RYAN ROSS, formerly a Director in the CHA’s Property and Asset…

DOJ’s new National Fraud Enforcement Division established to prosecute those who steal or fraudulently misuse taxpayer dollarsHOUSTON – A 56-year-old local resident has pleaded guilty to wire fraud, fraud in connection with a major disaster, threatening to kill a witness and assaulting/impeding a law enforcement officer, announced Acting U.S. Attorney John G.E. Marck.From 2019 through 2024, Sharai Poteet engaged in a scheme to fraudulently…

A former Dallas Housing Authority (DHA) maintenance supervisor who stole from DHA was sentenced to 2 years in federal prison, announced United States Attorney for the Northern District of Texas Ryan Raybould.  Joel Ipina, 50, pled guilty in November 2025 to theft concerning programs receiving government funds.  He was sentenced on May 21, 2026, by United States District Judge Jane J. Boyle, who also ordered him to pay $473,641 in…

WACO, Texas – An Austin woman was sentenced in a federal court in Waco today to 37 months in prison for embezzling federal funds for personal use while serving as the executive director of the Killeen Housing Authority (KHA).According to court documents, Deadra Johnson, 53, fraudulently obtained KHA funds and used them to pay for her personal expenses, including rent, utilities, auto maintenance, internet service, airline tickets, and furniture…

Editor's Note:This matter occurred on date indicated, but not published at that time due to government shutdown. Press release posted and made available following the return to normal operations.  HOUSTON – A 20-count indictment has been unsealed following the arrest of a 56-year-old Porter resident for fraudulently applying for and receiving a newly built house worth $435,000, announced U.S. Attorney Nicholas Ganjei.Sharai Poteet also…

CHICAGO — A Chicago businessman was sentenced today to more than 17 years in federal prison for bilking elderly homeowners in a reverse mortgage and home repair scheme.MARK STEVEN DIAMOND schemed with others to induce homeowners to unwittingly obtain reverse mortgage loans to pay for purported home repairs that Diamond offered to perform.  Diamond and the co-schemers targeted elderly victims in the Chicago area based on the amount of…

CHICAGO — A man has been sentenced to more than three years in federal prison for orchestrating a mortgage fraud scheme in Chicago that bilked multiple financial institutions out of more than $1.5 million.LEE HOLLIDAY, 66, of Schererville, Ind., pleaded guilty last year to a federal bank fraud charge.  U.S. District Judge Sara L. Ellis on Friday sentenced Holliday to three years and three months in federal prison.Holliday admitted in a…

PLANO, Texas – Three Texas women have been charged with federal violations related to a mortgage fraud scheme in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs.Nicole Espinosa, also known as Short Sale Queen, 35, of Plano; Stephanie Smith, also known as Stephanie Parks, 44, of Midlothian; and Selena Baltazar-Hill, 28, of Dallas, were indicted by a federal grand jury on November 20, 2024, and charged with federal…