Landlord Fined $43,000 for False Statements on Alteration Applications

DOB issued nine violation notices to landlord for making false statements on alteration applications. In nine applications, landlord stated that tenants wouldn’t remain in occupancy during construction. But DOB’s inspector found the building fully occupied during construction. Landlord claimed that DOB should have notified it to amend its applications instead of issuing the violations. Landlord also claimed that the violations were duplicates and all for the same building. The ALJ ruled against landlord and fined it $43,200.

Landlord appealed and lost. Code Section 28-211.1 makes it unlawful to make material false statements on any applications filed with DOB. Landlord claimed that no one signing the application forms was aware that false statements were being made. But landlord knew or should have known that the statements concerning building occupancy during construction were false. The preprinted text of the application form was clear. Landlord checked “no” next to a box that stated that occupied dwelling units “will remain occupied during construction.” DOB’s enforcement policy, to fine landlord for the false statements on each application, wasn’t reviewable by ECB.

165 West 91st Street LLC: ECB App. No. 1500956 (11/19/15) [5-pg. doc.]