Trending...
- Sea Tales Strengthens U.S. Leadership Team as Retail Expansion Accelerates
- MainConcept Easy Video API Extends Full Transcoding to Arm and NETINT VPUs
- Amaris Mint® Confirms UK Availability of Swedish-Made BioBoost Daily Nutrition Range
CHICAGO - Today, Chicago Mayor Brandon Johnson and Corporation Counsel Mary B. Richardson-Lowry filed suit against a former City employee, a property management company, and related individuals for defrauding the City's Emergency Rental Assistance Program ("ERAP"). Through ERAP, the City provided financial assistance to help cover the unpaid rent and utility expenses of low-income Chicago households affected by the economic consequences of COVID-19. The defendants applied for more than $700,000 in rental assistance funds and obtained over $200,000 by defrauding the City. The City is seeking the funds fraudulently obtained, as well as penalties, the City's legal fees, and triple damages.
As millions of renters struggled to pay their rent during the COVID-19 pandemic, the Chicago Department of Housing launched ERAP for tenants vulnerable to eviction. Under the program's guidelines, Chicago tenants who met certain criteria could obtain up to 18 months of missed rental and utility-payment assistance in addition to up to three months of future rent and utility payments. In most cases, if an ERAP application was approved, the City paid the landlord directly. ERAP was administered using funds from two rounds of federal grants authorized by Congress in December 2020 and March 2021.
More on illi News
The program, which was recognized by the White House in 2022, also funded innovative pilot programs such as a 3-year Right to Counsel ("RTC") pilot program that provides Chicago tenants facing eviction with free legal representation.
"ERAP was an important program that kept thousands of Chicagoans in their homes during the height of the pandemic," said Mayor Brandon Johnson. "Those essential housing resources were meant to provide relief in a time of crisis, not to be misused at the expense of those in need."
A joint investigation conducted by the Department of Housing and Department of Law revealed a disturbing scheme by Ilyas Lakada, a Chicago landlord and Illinois-licensed attorney who formerly worked as a lawyer at the Chicago Department of Aviation and the Department of Procurement Services. Beginning in 2021 while employed by the City, Lakada submitted fraudulent ERAP applications to the City. His applications contained forged documents, fake rent amounts, and false time periods.
The City further discovered that Lakada had ties to another defendant, the now-dissolved HAM Management, LLC. Defendant Mohammed Anwar Hussain formed HAM Management just one month after the City announced its ERAP program. On behalf of HAM Management, Defendants Hussain, Akhen Wilson, and Aashish Patel submitted fraudulent ERAP applications containing lies about the identities of tenants, rent amounts, and more. HAM Management's biggest lie was that it was a property management company at all; the City's investigation showed that HAM Management had no affiliation with any of the applied-for properties. Lakada resigned before the City discovered his fraud.
More on illi News
Altogether, the defendants submitted to the City more than two dozen fraudulent ERAP applications, seeking at least $705,250.
"This kind of abuse erodes the trust and resources vulnerable communities in need look to the City to provide," said Corporation Council Richardson-Lowry. "We are seeking stiff penalties including our attorneys' fees to hold these actors accountable and to make clear that taking advantage of the City's vital resources will not be tolerated."
"ERAP was an incredibly successful program, run at a time of great need. In all, DOH and our partners were able to provide over $170M in grant assistance to more than 30,000 tenants and landlords, keeping families in their homes despite often dramatic loss of income. It is unfortunate a few bad actors sought to abuse this program," said Lissette Castaneda, Commissioner of the Department of Housing. The City's investigation to date indicates the amounts awarded for these fraudulent applications represent an immaterial percentage of total awarded grant funds.
The City is represented in this lawsuit by Deputy Corporation Counsel Stephen Kane and Assistant Corporation Counsel Chelsey Metcalf from the Department of Law's Affirmative Litigation Division.
As millions of renters struggled to pay their rent during the COVID-19 pandemic, the Chicago Department of Housing launched ERAP for tenants vulnerable to eviction. Under the program's guidelines, Chicago tenants who met certain criteria could obtain up to 18 months of missed rental and utility-payment assistance in addition to up to three months of future rent and utility payments. In most cases, if an ERAP application was approved, the City paid the landlord directly. ERAP was administered using funds from two rounds of federal grants authorized by Congress in December 2020 and March 2021.
More on illi News
- Chicago: Mayor Brandon Johnson Cuts Ribbon on Austin United Alliance Apartments, Bringing 78 Mixed-Income Homes to Austin's Soul City Corridor
- Shelter Structures America makes European debut at TEMPOR EXPO 2026 in Fulda, Germany
- Chicago Author Launches a Movement to Protect Human Thought in the Age of AI
- MAZ6R CLAN & Riviera Marketing: 9/11, 25 - Years Later - "A Creative Response to Tragedy!"
- CodeAutomation Expands U.S. Footprint to Meet Growing Demand for AI and Automation Solutions
The program, which was recognized by the White House in 2022, also funded innovative pilot programs such as a 3-year Right to Counsel ("RTC") pilot program that provides Chicago tenants facing eviction with free legal representation.
"ERAP was an important program that kept thousands of Chicagoans in their homes during the height of the pandemic," said Mayor Brandon Johnson. "Those essential housing resources were meant to provide relief in a time of crisis, not to be misused at the expense of those in need."
A joint investigation conducted by the Department of Housing and Department of Law revealed a disturbing scheme by Ilyas Lakada, a Chicago landlord and Illinois-licensed attorney who formerly worked as a lawyer at the Chicago Department of Aviation and the Department of Procurement Services. Beginning in 2021 while employed by the City, Lakada submitted fraudulent ERAP applications to the City. His applications contained forged documents, fake rent amounts, and false time periods.
The City further discovered that Lakada had ties to another defendant, the now-dissolved HAM Management, LLC. Defendant Mohammed Anwar Hussain formed HAM Management just one month after the City announced its ERAP program. On behalf of HAM Management, Defendants Hussain, Akhen Wilson, and Aashish Patel submitted fraudulent ERAP applications containing lies about the identities of tenants, rent amounts, and more. HAM Management's biggest lie was that it was a property management company at all; the City's investigation showed that HAM Management had no affiliation with any of the applied-for properties. Lakada resigned before the City discovered his fraud.
More on illi News
- HydroExcavation.com Relaunches With Exclusive Local Service Areas and Dedicated Hydrovac Manufacturer Directory
- Sky Quarry Enters a Powerful New Chapter: Refinery Restart Emminent, Nevada Oil Initiative and Visibility Put (NAS DAQ: SKYQ) in the Spotlight
- OneVizion Launches Vera AI, Bringing Connected Operational Context to Infrastructure Teams
- P-Wave Press Announces Pushing the Wave 2025 by L.A. Davenport
- DONGSHENG Titanium Recycling: Promoting a Closed-Loop Cycle for High-End Titanium Materials
Altogether, the defendants submitted to the City more than two dozen fraudulent ERAP applications, seeking at least $705,250.
"This kind of abuse erodes the trust and resources vulnerable communities in need look to the City to provide," said Corporation Council Richardson-Lowry. "We are seeking stiff penalties including our attorneys' fees to hold these actors accountable and to make clear that taking advantage of the City's vital resources will not be tolerated."
"ERAP was an incredibly successful program, run at a time of great need. In all, DOH and our partners were able to provide over $170M in grant assistance to more than 30,000 tenants and landlords, keeping families in their homes despite often dramatic loss of income. It is unfortunate a few bad actors sought to abuse this program," said Lissette Castaneda, Commissioner of the Department of Housing. The City's investigation to date indicates the amounts awarded for these fraudulent applications represent an immaterial percentage of total awarded grant funds.
The City is represented in this lawsuit by Deputy Corporation Counsel Stephen Kane and Assistant Corporation Counsel Chelsey Metcalf from the Department of Law's Affirmative Litigation Division.
0 Comments
Latest on illi News
- Heritage at Manalapan Welcomes New Sales Team as Luxury Single-Family Home Community Continues to Grow
- Patented NogginLOC Technology Offers an Innovative Approach to Helmet Fastening
- Mandeville Pests May Pose Serious Health Risks for Your Family
- City of Chicago Partners With Chicago River Swim to Re-Launch "The Big Jump," Expand Field to 750 Swimmers
- Mayor Brandon Johnson and Chicago Public Schools Extend Chicago Connected Program for 2026–27 School Year
- Hardwood Flooring vs Carpet Comparison: Premier Custom Hardwood Flooring Releases Ultimate Buyer's Guide
- The Kryder Law Group, LLC Recovers $1,350,000 in Two Motorcycle Accident Settlements
- Share your workplace safety solutions at 2027 Applied Ergonomics Conference
- Parents No Longer Have to Wait 3 Weeks for a Sleep Consultant: Nora Talks Tonight, Stays for 5 Days, Costs $89
- May The Worst Team Win! Loserball Kicks Off Another NFL Season of Hilarious Mayhem
- Inkdnylon Expands Into Large-Volume Apparel, Uniform and Branded Merchandise Procurement
- Black Women Living With, and Impacted by, HIV Express Gratitude, Grief, Joy, and Resilience
- MainConcept Easy Video API Extends Full Transcoding to Arm and NETINT VPUs
- Aerostratospheric Announces xSatellite Flight Layer And September 12 x1Albatross Engineering Test
- Indie Author & Publishing News Website Launches!
- Cruxy shortlisted for two Private Equity Wire® US Awards 2026: Advisory Firm of the Year (Overall) & Value Creation Consulting Firm of the Year
- Lake Norman Philharmonic - Free Community Concert
- Inkdnylon Custom Apparel Introduces INKDNYLON MADE for Original Apparel, Accessories and Product Collections
- New Online Board Game Sin of Angels Lets Outlaw Gangs Battle for LA Solo or With Friends
- Amaris Mint® Confirms UK Availability of Swedish-Made BioBoost Daily Nutrition Range