The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited the Springfield Housing Authority's (Authority) Section 8 Housing Choice Voucher program (program). The audit was part of the activities in our fiscal year 2008 annual audit plan. We selected the Authority based upon our analysis of risk factors relating to the housing agencies in Region V's jurisdiction. Our objective was to determine…

At HUD's request, we audited the Housing Choice Voucher program of the Richland Housing Authority (Authority). HUD was concerned about the results of an audit of the Authority performed by the Washington State Auditor's Office. Our objective was to determine whether the Authority made ineligible purchases with program funds. We found that the Authority did not track its program expenses. Also, it charged more than $57,000 in…

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited Cook County's (County) HOME Investment Partnerships Program (Program). The audit was part of the activities in our fiscal year 2007 annual audit plan. We selected the County based upon our analysis of risk factors relating to Program grantees in Region V's jurisdiction. Our audit objectives were to determine whether the County…

We audited Renton Housing Authority (Authority), Renton, Washington. The review was initiated due to a hotline complaint from a Housing Choice Voucher program recipient. The complainant stated that the contract rent was unreasonable because it exceeded the rent for comparable unassisted units on the premises. The audit objective was to determine whether the complaint was valid. We also wanted to determine whether the Authority had controls in…

We audited A Plus Mortgage, Inc. (A Plus), to determine whether (1) the fees charged to Federal Housing Administration (FHA) borrowers by A Plus were appropriate under U.S. Department of Housing and Urban Development (HUD), FHA, and Real Estate Settlement Procedures Act (RESPA) regulations and (2) the loan officers originating FHA-insured loans were employees of A Plus. A Plus disregarded HUD FHA requirements and provisions of RESPA and engaged…

The U.S. Department of Housing and Urban Development's (HUD) Office of Inspector General audited the Peoria Housing Authority's (Authority) Section 8 Housing Choice Voucher program (program). The audit was part of the activities in our fiscal year 2007 annual audit plan. We selected the Authority based upon our analysis of risk factors relating to the housing agencies in Region V's jurisdiction. Our objective was to determine…

We audited the Tacoma Consortium HOME Investment Partnerships Program as a result of a risk assessment performed by HUD-OIG Region IX. Our objective was to determine whether the Consortium complied with HOME requirements, laws, and regulations with respect to the homeowner rehabilitation program and HUD procurement regulations. The Consortium generally administered HOME in accordance with HUD requirements but violated HOME regulations when it…

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 Urban…

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 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 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 equity…

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 plea…

CHICAGO — A federal jury in Chicago has convicted a loan originator of orchestrating a mortgage fraud scheme that bilked multiple financial institutions out of $2.6 million.KEVIN SMITH, 52, of Melrose Park, Ill., was found guilty on Sept. 6, 2024, of all five bank fraud counts against him.  Each count is punishable by up to 30 years in federal prison.  U.S. District Judge John F. Kness set sentencing for Dec. 17, 2024.Smith was a loan…

CHICAGO — A former attorney has been sentenced to 25 years in federal prison for embezzlement and fraud in connection with the failure of Washington Federal Bank for Savings in Chicago.ROBERT M. KOWALSKI served a key role in an embezzlement scheme at Washington Federal.  The bank, which was based in Chicago’s Bridgeport neighborhood, was shut down in 2017 after the Office of the Comptroller of the Currency determined that it was insolvent…

CHICAGO — A suburban Chicago businessman has been sentenced to two years in federal prison for willfully evading more than $3.7 million in federal and state income taxes.ABRAHAM KISWANI 54, of Burbank, Ill., pleaded guilty last year to a federal tax evasion charge.  In addition to the prison term, U.S. District Judge Manish S. Shah on Thursday fined Kiswani $10,000.Kiswani served as the president of World Security Bureau, a Chicago-area…