BE110150RO


                                  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

          ------------------------------------X    SJR2281
          IN THE MATTER OF THE ADMINISTRATIVE :    ADMINISTRATIVE REVIEW
          APPEAL OF                                DOCKET NO.BE110150RO
                  Allison Company             :    DRO DOCKET NO.3122704R
                                                   
                                                   TENANT: Shahnaz Zargari
                               PETITIONER     :
          ------------------------------------X

             ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW

          On May 14, 1987, the above-named petitioner-owner filed a Petition 
          for Administrative Review against an order issued on November 17, 
          1986 by the Rent Administrator, 10 Columbus Circle, New York, New 
          York, concerning the housing accommodation known as  81-10  135th
          Street,  Kew  Gardens,  New  York,  apartment  406,  wherein  the
          Administrator determined that the owner had overcharged the tenant.

          Said petition was dismissed on October 21, 1987 because it was not 
          filed within 35 days after the order appealed had been issued.

          Subsequent thereto, the owner moved in the Supreme Court,  Queens
          County for an order to vacate a default judgment entered therein. 
          By order of Justice Bambrick on April 19, 1988, the proceeding was 
          remitted to the DHCR for further consideration to  determine  the
          question of service of the tenant's complaint on the owner.

          This proceeding was commenced on March 12, 1984 when  the  tenant
          filed a complaint of rent overcharge.

          On March 21, 1984, the owner was notified that a complaint had been 
          filed and was further informed of the need  to  retain  all  rent
          records dating back to June 30, 1974.

          On November 15, 1984, a copy of the complaint along with an answer 
          form to be filled out was sent to the owner.

          A Final Notice of Pending Default, in which the service date of the 
          complaint was stated, was sent to the owner on June 30, 1986.

          There is no record of any response by the owner.
















          BE110150RO

          In the order issued on November 17, 1986, the Administrator found 
          that the owner had failed to provide a full rental history.  Based 
          upon the owner's default, the Administrator established the lawful 
          stabilization rent and directed the owner to refund an overcharge 
          of $4829.68.

          In its appeal, the owner alleges inter alia, that it never received 
          a copy of the complaint and thereby  has  been  deprived  of  due
          process.

          Since consideration of the owner's appeal is based on the court's 
          directive to determine whether service of the  complaint  on  the
          owner was made, this order and opinion  will  address  only  that
          issue.

          Review of the record reveals that the complaint was sent  in  the
          ordinary course of business to the  owner's  mailing  address  on
          November 15, 1984 and has not been returned as undeliverable by the 
          postal authorities.  The address to which the complaint was mailed 
          has been used for other mailings by the agency to the owner.  The 
          Commissioner notes that the owner admits receipt of the March 21, 
          1984 notice which was sent to the same post office box and further 
          notes that the owner did not question service of the complaint when 
          it received the final notice.  The Commissioner finds, therefore, 
          that the complaint was served on the owner at its post office box 
          in the care of United States postal  service.   Accordingly,  the
          Commissioner finds that the Administrator did not deprive the owner 
          of due process nor err in defaulting the owner.

          Upon the expiration of the period in which the owner may institute 
          a proceeding pursuant to Article 78 of the Civil Practice Law and 
          Rules, this order may be filed and enforced in the same manner as 
          a judgment or not in excess of twenty percent per month thereof may 
          be offset against any rent thereafter due the owner.

          Therefore,  in  accordance  with  the  provisions  of  the   Rent
          Stabilization Law and Code, it is

          ORDERED, that this petition be, and the same hereby is, denied and 
          the Rent Administrator's  order  be,  and  the  same  hereby  is,
          affirmed.
               
          ISSUED:

                                                                           
                                                   JOSEPH A. D'AGOSTA
                                                   Deputy Commissioner
    

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