AL 110178-RO
                                
                        STATE OF NEW YORK
            DIVISION OF HOUSING AND COMMUNITY RENEWAL
                  OFFICE OF RENT ADMINISTRATION
                           GERTZ PLAZA
                     92-31 UNION HALL STREET
                     JAMAICA, NEW YORK 11433
                                
                                
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IN THE MATTER OF THE ADMINISTRATIVE     ADMINISTRATIVE REVIEW
APPEAL OF                               DOCKET NO.:
                                        AL 110178-RO
         KRAUS MANAGEMENT,              DRO DOCKET NO.:
                                        Q 3119587-R
                        PETITIONER      TENANT: JOY S. FAIRTILE
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  ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW
                             IN PART
                                
                                
On  December  1, 1986, the above-named petitioner-owner  filed  a
Petition  for  Administrative Review against an order  issued  on
October  27, 1986, by the Rent Administrator, 10 Columbus Circle,
New  York, New York, concerning the housing accommodations  known
as 135-04 Jewel Avenue, Kew Gardens Hills, New York, Apartment
1-A, wherein the Rent Administrator determined that the owner had
overcharged the tenant.

The  Administrative Appeal is being determined  pursuant  to  the
provisions of Section 2526.1 of the Rent Stabilization Code.

The  issue  in  this  appeal is whether the Rent  Administrator's
order was warranted.

The  Commissioner has reviewed all of the evidence in the  record
and  has carefully considered that portion of the record relevant
to the issue raised by the administrative appeal.

This  proceeding was originally commenced by the filing in  March
1984,  of a rent overcharge complaint by the tenant in which  the
tenant  stated that she first moved to the subject  apartment  on
August 15, 1982, at a rental of $417.17. per month.

In  response  to  the  tenant's complaint, the  owner  stated  in
sub-stance  that  it  was not able to submit  a  complete  rental
history  because the prior owner did not supply it with the  base
date lease for this apartment, when it purchased the premises  on
November 17, 1983.  The owner submitted a rental history from May
1, 1977.

Under  Docket  No. CDR 24,867, the Rent Administrator  determined
that  a  rent overcharge of $1,853.33 had occurred through August
31,  1985,  based  on the owner's failure to  submit  a  complete
rental history.

In  this  petition the owner alleges in substance that it  should
not  be  penalized  for its failure to submit a  complete  rental
history,  but that the rental history from April 14, 1977  should
be utilized.

The  Commissioner is of the opinion that this petition should  be
granted in part.

Section  42A of the former Rent Stabilization Code requires  that
an owner retain complete records for each stabilized apartment in
effect  from  June  30,  1974 (or the date the  apartment  became
subject  to  rent  stabilization, if later) and to  produce  such
records to the DHCR upon demand.

Since  the  instant case involves submission of a rental  history
back to 1977 and in light of recent court decisions applicable in
this  jurisdiction,  the  Commissioner  is  hereby  granting  the
specific  relief  requested by the petitioner.  The  Commissioner
deems  it  appropriate to utilize the rental history supplied  by
the   owner  in  determining  the  lawful  stabilization   rents.
Accord-ingly,  the  Commissioner  has  recalculated  the   lawful
stabilization  rents and the amount of the rent overcharge  based
on the rental history from May 1, 1977.  The lawful stabilization
rents  and  amount of the rent overcharge are set  forth  on  the
amended  rent calculation chart attached hereto and made  a  part
hereof.

Because  this  determination concerns lawful rents  only  through
August  31,  1985,  the owner is cautioned to  adjust  subsequent
rents  to an amount no greater than that determined by this order
plus any lawful increases and to register any adjusted rents with
this  order  and opinion being given as the explanation  for  the
adjustment.

If  the  owner has already complied with the Rent Administrator's
order  and there are arrears due to the owner as a result of  the
instant  determination, the tenant shall be permitted to pay  off
the  arrears  in twelve equal monthly installments.   Should  the
tenant  vacate after the issuance of this order or  have  already
vacated, said arrears shall be payable immediately.





THEREFORE,  in  accordance with the Rent  Stabilization  Law  and
Code, it is

ORDERED, that this petition for administrative review be, and the
same hereby is granted in part; and that the order of the Rent
Administrator be, and the same hereby is, modified in accordance
with this order and opinion.  The lawful stabilization rents and
the amount of the rent overcharge are established on the attached
chart which is full made a part of this order.  The amount of the
rent overcharge through August 31, 1985 is $149.49, including
interest on overcharges on or after April 1, 1984.


ISSUED:




ELLIOT SANDER
                                         Deputy Commissioner
    

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