Sidebilder
PDF
ePub

(e) Failure to collect or pay a tax de $27.65 Computation of time. scribed in paragraph (c) of this section Periods of time provided for in this shall not be grounds for refusing to part shall be calculated in consecutive record the commissioner's deed, for calendar days including the day or failing to recognize such recordation days on which the actions or events or for denying enforcement of the occur or are to occur. Any such period deed in any State or Federal court.

of time includes the day on which an

event occurs or is to occur. 8 27.50 Redemption rights.

The mortgagor or others will have PART 28—IMPLEMENTATION OF THE no right to redeem the mortgage after PROGRAM FRAUD CIVIL REMEDIES the foreclosure sale. The mortgagor or ACT OF 1986 others will have no right to possession of the security property after the fore

Sec. closure sale based on a right of re- 28.1 Purpose. demption.

28.3 Definitions.

28.5 Basis for civil penalties and assess8 27.55 Record of foreclosure and sale.

ments.

28.7 Investigation. (a) The deed to the purchaser shall

28.9 Review by the reviewing official. contain the following recitals:

28.11 Prerequisites for issuing a complaint. (1) A statement that the foreclosed 28.13 Complaint. mortgage was held by the Secretary; 28.15 Service of complaint.

(2) The details of the service of the 28.17 Answer. Notice of Default and Foreclosure Sale

28.19 Default upon failure to file an under $ 27.15(c), including the names

answer. and addresses of persons to whom the

28.21 Referral of complaint and answer to

the ALJ. Notice was mailed and the dates on

28.23 Notice of hearing. which the Notice was mailed, names of 28.25 Parties to the hearing. newspapers in which and dates on

28.27 Separation of functions. which the Notice was published, and 28.29 Ex parte contacts. the date on which service by posting 28.31 Disqualification of reviewing official was accomplished;

or ALJ. (3) A statement that the foreclosure

28.33 Rights of parties.

28.35 Authority of the ALJ. was conducted in accordance with the

28.37 Prehearing conferences. Act and with the terms of the Notice

28.39 Disclosure of documents. of Default and Foreclosure Sale;

28.41 Discovery. (4) The costs of the foreclosure cal- 28.43 Exchange of witness lists, stateculated in accordance with $ 27.35; and ments, and exhibits. (5) The name of the successful

28.45 Subpoenas for attendance at hearing. bidder and the amount of the success

28.47 Protective order.

28.49 Fees. ful bid.

28.51 Form, filing and service of papers. (b) The commissioner may, in his or

28.53 Computation of time. her discretion, make these recitations 28.55 Motions. in an affidavit or addendum to the 28.57 Sanctions. deed rather than in the body of the

28.59 The hearing and burden of proof. deed.

28.61 Determining the amount of penalties

and assessments. 8 27.60 Management and disposition by

28.63 Location of a hearing.

28.65 Witnesses. the Secretary.

28.67 Evidence. When the Secretary is the purchaser

28.69 The record. of the security property, the Secretary

28.71 Post-hearing briefs. shall manage and dispose of it in ac

28.73 Initial decision. cordance with section 203 of the Hous

28.75 Reconsideration of initial decision.

28.77 Appeal to authority head. ing and Community Development

28.79 Stays ordered by the Department of Amendments of 1978, 12 U.S.C. 17012- Justice. 11, and in accordance with 24 CFR 28.81 Stay pending appeal. part 290.

28.83 Judicial review.

Sec.

(2) For the payment of money (in28.85 Collection of civil penalties and as- cluding money representing grants, sessments.

loans, insurance, or benefits) if the 28.87 Right to administrative offset.

United States28.89 Deposit in Treasury of United States.

(i) Provided any portion of the 28.91 Compromise or settlement. 28.93 Limitations.

money requested or demanded; or

(ii) Will reimburse the recipient or AUTHORITY: The Program Fraud Civil Remedies Act of 1986, Pub. L. 99-509.

party for any portion of the money

paid on the request or demand; or SOURCE: 53 FR 24001, June 24, 1988, unless

(c) HUD which has the effect of deotherwise noted.

creasing an obligation to pay or ac

count for property, services, or money. 8 28.1 Purpose.

Complaint means the administrative This part

complaint served by the reviewing offi(a) Establishes administrative proce- cial on the defendant under $28.13. dures for imposing civil penalties and Defendant means any person alleged assessments against persons who in a complaint under $28.13 to be make, submit, or present, or cause to liable for a civil penalty or assessment be made, submitted, or presented, under $ 28.5. false, fictitious, or fraudulent claims Government means the United or written statements to Federal au- States Government. thorities or to their agents, and

HUD means the Department of (b) Specifies the hearing and appeal Housing and Urban Development. rights of persons subject to allegations Individual means a natural person. of liability for such penalties and as- Initial decision means the written sessments.

decision of the ALJ required by $ 28.19

or $28.73, and includes a revised initial 8 28.3 Definitions.

decision issued following a remand or ALJ means an Administrative Law a motion for reconsideration. Judge in HUD appointed pursuant to 5 Investigating official means the InU.S.C. 3105 or detailed to HUD pursu- spector General of the Department of ant to 5 U.S.C. 3344.

Housing and Urban Development or Authority head means the Secretary an officer or employee of the Office of or Under Secretary of the Department the Inspector General designated by of Housing and Urban Development. the Inspector General and serving in a

Benefits means, in the context of position for which the rate of basic "statement,” anything of value, in- pay is not less than the minimum rate cluding but not limited to any advan- of basic pay for grade GS-16 under tage, preference, privilege, license, the General Schedule. permit, favorable decision, ruling, Knows or has reason to know, means status, or loan insurance or guarantee. that a person, with respect to a claim

Claim means any request, demand, or statementor submission made to

(a) Has actual knowledge that the (a) HUD for property, services, or claim or statement is false, fictitious, money (including money representing or fraudulent; grant, loans, insurance, or benefits); (b) Acts in deliberate ignorance of

(b) A recipient of property, services, the truth or falsity of the claim or or money from HUD or to a party to a statement; or contract with HUD

(c) Acts in reckless disregard of the (1) For property or services if the truth or falsity of the claim or stateUnited States

ment. (1) Provided the property or services; Makes, wherever it appears, shall in

(i) Provided any portion of the clude the terms presents, and submits, funds for the purchase of the property and causes to be made, presented, or or services; or

submitted. As the context requires, (ii) Will reimburse the recipient or making or made, shall likewise include party for the purchase of the property the corresponding forms of such or services, or

terms.

$ 28.5

Person means any individual, part- (1) A person shall be subject, in addinership, corporation, association, or tion to any other remedy that may be private organization, and includes the prescribed by law, to a civil penalty of plural of the term.

not more than $5,000 except as providRepresentative means an attorney ed in paragraph (c) of this section, who is a member in good standing of when that person makes a claim that the bar of any State, Territory, or the person knows or has reason to posession of the United States or of knowthe District of Columbia or the Com- (i) Is false, fictitious, or fraudulent; monwealth of Puerto Rico, or other

(ii) Includes or is supported by any representative meeting the qualifica- written statement that asserts & matetions of a non-attorney representative rial fact which is false, fictitious, or found at 24 CFR part 26 and designat fraudulent; ed by a party in writing.

(iii) Includes or is supported by any Reviewing official means the Gener- written statement thatal Counsel of the Department or his or

(A) Omits à material fact; her designee who is

(B) Is false, fictitious, or fraudulent (a) Not subject to supervision by, or

as a result of the omission, and required to report to, the investigating

(C) Is a statement in which the official;

person making the statement has a (b) Not employed in the organiza

duty to include the material fact; or tional unit of HUD in which the inves

(iv) Is for payment for the provision tigating official is employed; and

of property or services that the person (c) Is serving in a position for which

has not provided as claimed. the rate of basic pay is not less than

(2) Each voucher, invoice, claim the minimum rate of basic pay for

form, or other individual request or grade GS-16 under

demand for property, services, or

the General Schedule.

money constitutes a separate claim. Statement means any representa

(3) A claim shall be considered made tion, certification, affirmation, docu

to HUD, to a recipient, or to a party ment, record, or accounting or book

when the claim actually is made to an keeping entry made

agent, fiscal intermediary, or other

entity, including any State or political (a) With respect to a claim or to

subdivision of a State, acting for or on obtain the approval or payment of a claim (including relating to eligibility

behalf of HUD, the recipient, or the

party. to make a claim); or

(4) Each claim for property, services, (b) With respect to (including relat

or money is subject to a civil penalty ing to eligibility for)

without regard to whether the proper(1) A contract with, or a bid or pro

ty, services, or money actually is delivposal for a contract with; or

ered or paid. (2) A grant or cooperative agree- (5) If the Government has made any ment, loan, or benefit from, HUD, or payment (including transferred propany State, political subdivision of a

erty or provided services) on a claim, a State, or other party, if the United

person subject to a civil penalty under States Government provides any por- paragraph (a)(1) of this section also tion of the money or property under

shall be subject to an assessment of the contract or the grant or coopera- not more than twice the amount of tive agreement, loan, or benefit, or if the claim or that portion of the claim the Government will reimburse the

that is determined to be in violation of State, political subdivision, or party paragraph (a)(1) of this section. This for any portion of the money or prop- assessment shall be in lieu of damages erty under the contract or for the sustained by the Government because grant or cooperative agreement, loan, of the claim. or benefit.

(b) Statements. (1) A person shall be

subject, in addition to any other 8 28.5 Basis for civil penalties and assess

remedy that may be prescribed by law, ments.

to & civil penalty of not more than (a) Claims.

$5,000 for each statement, except as

provided in paragraph (c) of this sec- Section 14–Comprehensive Improvement tion, when that person makes a writ

Assistance ten statement that

Turnkey III (1) The person knows or has reason

Section 4, 5, and 9 Public Housing

Indian Housing-Rental Housing, Mutual to know

Help Homeownership Opportunity, Sec(A) Asserts à material fact which is

tion 8 false, fictitious, or fraudulent; or

National Housing Act (12 U.S.C. 1702) (B) Is false, fictitious, or fraudulent Section 235-Low Income Home Ownerbecause it omits a material fact that ship Program the person making the statement has Section 236 & duty to include in the statement; Insurance of Below Market Rate Mortand

gages (i) Contains or is accompanied by an

Housing and Urban Development Act of

1965 (12 U.S.C. 1701) express certification or affirmation of

Section 101 Rent Supplements the truthfulness and accuracy of the

Housing and Community Development Act contents of the statement;

of 1987 (2) Each written representation, cer- Title VI–Nehemiah Housing Opportunity tification, or affirmation constitutes a Grants separate statement.

(d) No proof of specific intent to de(3) A statement shall be considered

fraud is required to establish liability made to HUD when the statement is

under this section. actually made to an agent, fiscal inter

(e) Where it is determined that more mediary, or other entity, including any

than one person is liable for making a State or political subdivision of a

claim or statement under this section, State, acting for or on behalf of HUD.

each such person may be held liable (c)(1) In the case of any claim or

for a civil penalty under this section. statement made by any individual re

(f) Where it is determined that more lating to any of the benefits listed in paragraph (c)(2) of this section, the in

than one person is liable for making a

claim under this section on which the dividual may be held liable for penalties and assessments under this section

Government has made payment (in

cluding transferred property or prowhere the benefits are received by the

vided services), an assessment may be individual or individual's family only if the claim or statement is made by the

imposed against any such person or

jointly and severally against any comindividual with respect to the individ

bination of such persons. ual's or individual's family's eligibility to receive benefits, in the course of

8 28.7 Investigation. making application for the benefits. (2) For purposes of this paragraph

(a) If an investigating official con(c), “benefits" shall be defined as any

cludes that a subpoena under 31 instance wherein funds administered

U.S.C. 3804(a) is warrantedby the Secretary of HUD directly or

(1) The subpoena shall notify the indirectly permit lower income fami- person to whom it is addressed of the lies or elderly or handicapped persons

authority under which it is issued and to reside in housing which otherwise

shall identify the records or docuwould not be available to them. These

ments sought; instances include but are not limited (2) The investigating official may to housing made available in whole or designate a person to act on his or her in part under the following enabling behalf to receive the documents legislation and through the following sought; and commonly named programs:

(3) The person receiving the subpoe

na shall be required to tender to the United States Housing Act of 1937 (42

investigating official or to the person U.S.C. 1437)

designated to receive the documents a Section 8 Lower-Income Rental Assistance Sections 23 and 10(C)-Leased Housing

certification that the documents Section 202–Direct Loans for Housing for

sought have been produced, or that the Elderly and Handicapped

the documents are not available and Section 17-Rental Rehabilitation and De. the reasons they are not available, or velopment Grants

that the documents, suitably identi$ 28.9

fied, have been withheld based upon 8 28.11 Prerequisites for issuing a comthe assertion of the identified privi. plaint. lege.

(a) The reviewing official may issue (b) If the investigating official con

a complaint under $ 28.13 only ifcludes that an action under the Pro

(1) The Department of Justice apgram Fraud Civil Remedies Act may

proves the issuance of a complaint in a be warranted, the investigating official

written statement as described in 31 shall submit a report containing the

U.S.C. 3803(b)(1); and findings and conclusions of the investi

(2) In the case of allegations of ligation to the reviewing official.

ability under $ 28.5(a) with respect to (c) Nothing in this section shall pre

a claim, the reviewing official deterclude or limit an investigating offi

mines that, with respect to the claim cial's discretion to refer allegations di

or to a group of related claims submitrectly to the Department of Justice

ted at the same time the claim is subfor suit under the False Claims Act or

mitted (as defined in paragraph (b) of for other civil relief, or to defer or

this section), the amount of money or postpone a report or referral to the re

the value of property or services deviewing official to avoid interference

manded or requested in violation of with a criminal investigation or pros

§ 28.5(a) does not exceed $150,000. ecution.

(b) For the purposes of this section, (d) Nothing in this section modifies

a related group of claims submitted at any responsibility of an investigating

the same time shall include only those official to report violations of criminal

claims arising from the same transaclaw to the Attorney General.

tion (e.g., grant or cooperative agree

ment, loan, application, or contract) 8 28.9 Review by the reviewing official.

that are submitted simultaneously as (a) If, based on the report of the in- part of a single request, demand, or vestigating official under $ 28.7(b), the submission. reviewing official determines that (c) Nothing in this section shall be there is adequate evidence to believe construed to limit the reviewing offithat a person is liable under $ 28.5, the cial's authority to join, in a single comreviewing official shall transmit to the plaint against a person, claims that are Attorney General a written notice of unrelated or that were not submitted the reviewing official's intention to simultaneously, regardless of the issue a complaint under $ 28.13.

amount of money, or the value of (b) The notice shall include

property or services, demanded or re(1) A statement of the reviewing of. quested. ficial's reasons for issuing a complaint; (2) A statement specifying the evi

8 28.13 Complaint. dence that supports the allegations of (a) On or after the date the Departliability;

ment of Justice approves the issuance (3) A description of the claims or of a complaint in accordance with 31 statements upon which the allegations U.S.C. 3803(b)(1), the reviewing offiof liability are based;

cial may serve a complaint on the de(4) An estimate of the amount of fendant as provided in § 28.15. money or the value of property, serv- (b) The complaint shall stateices, or other benefits requested or de- (1) The allegations of liability manded in violation of g 28.5;

against the defendant, including the (5) A statement of any exculpatory statutory basis for liability, and identior mitigating circumstances known by fication of the claims or statements the reviewing official or the investigat- that are the basis for the alleged liing official that may relate to the ability, and the reasons why llability claims or statements; and

allegedly arises from those claims or (6) A statement that there is a rea

statements; sonable prospect of collecting an ap- (2) The maximum amount of penal. propriate amount of penalties and as- ties and assessments for which the desessments.

fendant may be held liable;

« ForrigeFortsett »