Covid rent reduction fraudulently obtained?

Covid rent reduction fraudulently obtained?

9:58 AM, 22nd January 2024, About 4 months ago 38

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Hello, Some weeks into lockdown, after regulation in relation to tenancy agreements were changed and landlords were not permitted to serve notice to quit, my tenant requested a rent reduction.

Citing that his mental health was suffering due to living alone and he wanted to move back in with his parents for the duration of the pandemic.

I agreed to this even though his income was not affected as he was a mature student supported by his parents, and his parents were guarantors for his rent.

Three months later, when informing him that I was going to check on the flat in his absence, he informed me that he hadn’t moved out. It therefore transpired that he had obtained the reduction on false pretences and never had any intention of moving to be with his parents.

A quick search on social media revealed postings from him in which he had mocked me for being naïve enough to agree to the reduction referring to ‘My stupid f—-g landlady. I can’t breathe for laughing’ and other malicious toned postings (all of which I retain screen shots of).

He ended the tenancy voluntarily before the end of lockdown and at the time I didn’t attempt to reclaim the covid reduction as I was just relieved to see him gone.

However, I am now considering pursuing his father for the outstanding amounts due to the fact that the reduction was fraudulently obtained.

Would this be possible?

Thank you,

Helen


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Comments

GlanACC

11:34 AM, 22nd January 2024, About 4 months ago

Reply to the comment left by Reluctant Landlord at 22/01/2024 - 11:23
What can you sue them for ? - If a tenant is in arrears and I evict I always go through the small claims court for £300.00 just to give them a CCJ - never get any maonery back but its cheap to do. In this case. assuming the rent is up to date you could try and sue for 'fraud' but if the tenant counterclaims or puts in a defence them you are wasting money. When in business NEVER take it personally when you have been scammed or lost money it will consume your life. In one of my other businesses I have customers who have DRO's and IVA's and I have had to write of tens of £1,000's - I just make sure I allow for this possibility in the prices I charge

Helen Mary Thomson

11:39 AM, 22nd January 2024, About 4 months ago

Thanks, what grounds could a tenant counter claim on?

GlanACC

12:02 PM, 22nd January 2024, About 4 months ago

Reply to the comment left by Helen Mary Thomson at 22/01/2024 - 11:39
They could reject your claim - they could say that your social media posts about you were 'for a laugh', it would then be up to the magistrate to decide and it is VERLY likely they would rule in the tenants favour. In my other business I had many customers who claimed the 'mental health' and 'breathing space' get out clauses for paying me money owed. In more than 80% of cases I just had to write it off.

Helen Mary Thomson

12:10 PM, 22nd January 2024, About 4 months ago

Thank you, will weigh the options up.

Ian Narbeth

14:14 PM, 22nd January 2024, About 4 months ago

For what it's worth, the tenant may have committed fraud under section 2 of the Fraud Act 2006 https://www.legislation.gov.uk/ukpga/2006/35/section/2
Make a report to your local police and show them the evidence you have.

Helen Mary Thomson

15:20 PM, 22nd January 2024, About 4 months ago

Thank you, i's worth looking into.

Dennis Forrest

15:56 PM, 22nd January 2024, About 4 months ago

Reply to the comment left by Ian Narbeth at 22/01/2024 - 14:14
Police will just say it is a civil matter and no crime has been committed.

Ian Narbeth

16:15 PM, 22nd January 2024, About 4 months ago

Reply to the comment left by Dennis Forrest at 22/01/2024 - 15:56
But it is not just a civil matter. The tenant has made false statements to obtain a financial advantage. Helen should not be afraid to point this out to them.

Helen, it is worth making a claim against the parents, showing them the social media posts and asking if they want to risk a CCJ and damage to their credit score on account of their son.

GlanACC

16:31 PM, 22nd January 2024, About 4 months ago

Reply to the comment left by Ian Narbeth at 22/01/2024 - 16:15
Same issue claiming against the parents, they can reject the claim and you would have an even harder job trying to make the fraud 'stick.

As for the police, they won't investigate unless you complain to the police commissioner or the chief constable (you ncould pen them a letter).

I still think you are taking it too personal and are looking now for some kind of revenge when in fact you should be taking a clear business oriented financial assesment of risk versus reward in suing the tenant or guarantor

Ian Narbeth

16:38 PM, 22nd January 2024, About 4 months ago

Reply to the comment left by GlanACC at 22/01/2024 - 16:31
No, it is not making a fraud charge against the parents. Nor is it "revenge". It is simply getting a just result.
The claim against the parents is a civil claim for unpaid rent. They may not even be aware their son has behaved as he has. Decent people would be appalled by the son's behaviour. Give them a chance to pay but be prepared to bring a claim.. The argument is that the agreement to reduce the rent is a nullity because induced by a false representation.

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