BG 610216 RO

                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433

          APPEAL OF                              DOCKET NO. BG 610216 RO
                                              :  DRO DOCKET NO. TC-79587-G
               PHILIP SAMAROO                    TENANT: WILLIAM DIMOW

                                PETITIONER    : 


               On July 21, 1987, the above-named  petitioner-owner  filed  a
          Petition for Administrative Review against an order issued on June 
          18, 1987, by the Rent Administrator, 10 Columbus Circle, New York, 
          New York, concerning the  housing  accommodations  known  as  3204
          Oxford Avenue, Bronx, New York, Apartment No. 2, wherein the  Rent
          Administrator  determined  that  the  owner  had  overcharged  the

               The Commissioner notes that this proceeding was  filed  prior
          to April 1, 1984.  Sections 2526.1 (a) (4)  and 2521.1 (d) of  the
          Rent Stabilization Code (effective May  1,  1987)  governing  rent
          overcharge  and  fair  market  rent   proceedings   provide   that
          determination of these matters be  based  upon  the  law  or  code
          provisions  in  effect  on  March  31,  1984.   Therefore,  unless
          otherwise  indicated,  reference   to   Sections   of   the   Rent
          Stabilization Code (Code) contained herein  are  to  the  Code  in
          effect on April 30, 1987.

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

               The issue herein 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 in December 1983  by
          the filing of a rent overcharge complaint by the tenant who  first
          moved to the subject apartment on September 1, 1973 pursuant to  a
          two year lease reciting a rent of $210.00 per month for the  first
          year and $220.00 per month for the second year.  In his  complaint
          the tenant stated that he paid rents during the aforementioned two 
          year period in accordance with the lease terms.

               In answer to the complaint, the owner submitted a complete 

          BG 610216 RO

          rental history for the subject apartment.

               In Order Number CDR 30,663, the Rent Administrator determined 
          that the tenant had been overcharged in the amount of $1259.90 and 
          directed the owner to refund such overcharge to the tenant.

               In this petition, the owner contends in  substance  that  the
          Rent Administrator's order failed to take into  account  the  fact
          that the rent was increased to $220.00 per  month  in  the  second
          year of the lease commencing September 1, 1973, and that when this 
          is done, it is apparent that no rent overcharge occurred.

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

               An examination of the records in this case discloses that the 
          owner is correct in his contention that the Rent Administrator did 
          not take into account  the  allowable  increase  from  $210.00  to
          $220.00 per month in the second year  of  the  September  1,  1973
          lease which commenced during a period of vacancy  destabilization.
          Rather the Rent Administrator incorrectly thought that  the  owner
          had charged only $210.00 during the entire  two  year  period  and
          incorrectly found a rent  overcharge  based  thereon.   Using  the
          correct rent of $220.00 per  month  effective  September  1,  1974
          makes the monthly lawful  stabilization  rents  $247.50  effective
          September 1, 1975 to August 31, 1978, $265.00 effective  September
          1, 1978 to August 31, 1981, $310.00 effective  September  1,  1981
          to August 31, 1984, $331.70 effective September 1, 1984 to  August
          31, 1986, and $353.26 effective September 1, 1986  plus  allowable
          temporary fuel surcharges which the owner was permitted to charge. 
          Since the owner in fact charged rents at the above amounts,  there
          was no rent overcharge and the Rent Administrator's order to  that
          effect must therefore be revoked.

               If the owner has already complied  with  the  Administrator's
          order and there are arrears due to the owner as a  result  of  the
          instant determination, the tenant is  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  provisions  of  the  Rent
          Stabilization Law and Code, it is

               ORDERED, that this petition for administrative review be, and 
          the same hereby is, granted, and,  that  the  order  of  the  Rent
          Administrator be, and the same hereby is, revoked, and it is found 
          that there was no rent overcharge.

                                          ELLIOT SANDER
                                          Deputy Commissioner


          BG 610216 RO


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