Homes for Islington and Islington Council have been successful in reclaiming council homes in two recent cases after residents were found guilty of fraudulently purchasing deceased relatives’ homes under the right to buy scheme.In the case heard at the City & Mayors Court, the council was given a court order to rescind the lease on 15 Carrick House, Caledonian Road, N7 as the home of a deceased tenant had been fraudulently purchased under RTB by the tenant’s son, Paul Bettie. The original sale was made void, possession was granted to the council and the two-bedroom flat has been returned to the housing stock. The court also dismissed the application by Mr. Bettie to force the council to pay back the purchase price of £12,000.In the case heard at Clerkenwell County Court, the court ordered the rescission of the lease on 31 Cornelia Street, London N7, making the sale of a three-bedroom house void. Possession is to be given back to the council by 14 April on the agreement that the council pays back the £87,000 purchase price. The court found that William Keogh, the son of the deceased tenant, had made fraudulent representation and had completed the RTB after his father had died.Homes for Islington Board Chair Ann Lucas said: “Homes for Islington will not tolerate fraudulent purchases of council homes. We thoroughly investigate all cases of suspected fraud and we will always take appropriate action to reclaim properties so that they are available to deserving tenants.” Cllr Jyoti Vaja, Islington Council’s executive member for housing and community safety, commented: “The council takes fraud seriously and we will take whatever steps necessary to combat it. Homes are for those in the greatest need and the message is clear, if you fraudulently buy your home from the council we will take action to get it back.”ENDSNotes to editorsMedia contact: Scott Swinton, Homes for Islington 020 7527 4370 In LBI v Bettie (City & Mayors Court decision - 21 December 2004, Mr. Bettie’s son had purported to be his father, the tenant, although his father had died two months before but whose death had not been reported to the council. With a statutory discount of £28,000, the home was purchased for £12,000 in 1996. The council subsequently discovered that the tenant had died before the initial RTB application was made. Legal proceedings commenced in 1997.At the time that the council received the RTB application they were unaware that the tenant had died. The relevant information was provided to proceed with the sale and the son signed all correspondence pretending to be the tenant. On the basis that the tenant had continued to be the secure tenant, the, resulting in the purchase price of £12,000. The sale of the flat was completed in March 1996.In LBI v Warwickshire & 1 other (Clerkenwell County Court decision - 19 January 2005), on 18 August 1999 the tenant had initially made a claim to exercise his RTB together with his son, although his son did not live with him. The RTB application was processed solely in the tenant’s name and in December 2000 the purchase was completed at the price of £87,000.The council subsequently found out that the tenant died in July 2000, and some persons who are believed to be relatives of the deceased made false representation to complete the purchase of the property, involving another party to finance the sale. Homes for Islington, the UK’s largest Arms Length Management Organisation (ALMO), which began operations in April 2004, is charged with managing council housing stock throughout the borough. It is owned by Islington Council and managed by a Board of Directors, made up of Islington tenants and leaseholders, council representatives and independent members.
Page Last Updated: 29 July 2008