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
          IN THE MATTER OF THE ADMINISTRATIVE :    ADMINISTRATIVE REVIEW
          APPEAL OF                                DOCKET NO.BH210194RO
                                              :    DRO DOCKET NO.
              JRD Management                       K3104143R/CDR30870

                               PETITIONER     :    TENANT: Antonio Knight
          ------------------------------------X

           ORDER AND OPINION GRANTING PETITION IN PART FOR ADMINISTRATIVE 
                                        APPEAL

          On August 18, 1987,  the  above-named  petitioner-owner  filed  a
          Petition for Administrative Review against an order issued on July 
          14, 1987 by the Rent Administrator, 10 Columbus Circle, New York, 
          New York concerning the housing accomodation known as 40 Clarkson 
          Avenue, Apartment 4N, Brooklyn, New York wherein the Administrator 
          determined that the owner had overcharged the tenant.

          The Commissioner has reviewed all of the evidence in the record and 
          has carefully considered that portion of the record relevant to the 
          issues raised in the Administrative Appeal.

          This proceeding was commenced on March 30, 1984 when  the  tenant
          filed a complaint of rent overcharge.

          In answer to the complaint, the owner stated that upon receipt of 
          the notice of complaint, it had reviewed the tenant file and  had
          found an error in its rent  calculations.   With  its  subsequent
          correction of the error, it had credited the tenant's account and 
          had adjusted the rent and that therefore, it  believed  that  the
          complaint had been resolved.  With its answer, the owner submitted 
          a complete lease history, a letter of credit to the tenant, a Due 
          and Paid worksheet portraying  the  credit  and  copies  of  DHCR
          opinions granting rent increases for  Major  Capital  Improvement
          (MCI).

          In the order here under review, the Administrator determined that 
          the owner had collected overcharges of $1463.96 inclusive of excess 
          security and interest on the overcharge.

          In its appeal, the owner contends that the order should be reversed 
          as the Administrator  made  a  number  of  errors,  including  1)
          incorrectly calculating and noting MCI Opinions; 2) omitting a 1/2% 
          stabilizer from the lease term commencing during  Rent  Guideline
          Board Order #6; 3) not acknowledging the refund of $1408.55 issued 












          to the tenant.  The owner also states that it made a minor 
          BH210194RO

          mathematical error when it previously adjusted the rent but that it 
          has since corrected said error and will apply the ensuing  credit
          ($96.96) to the tenant's account effective September 1, 1987.

          Although afforded the opportunity to do so, the  tenant  did  not
          respond to the petition.

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

          Review of the record discloses that the Administrator  failed  to
          include a 1/2% stabilizer in the July 1, 1974  -  June  30,  1976
          lease.  The Administrator also miscalculated various  M.C.I  rent
          increases.  The omission and MCI miscalculations  resulted  in  a
          miscalculation of the legal rent throughout  the  Administrator's
          rent calculation chart culminating in the establishment  for  the
          lease term July 1, 1985 to June 30, 1987 of $336.56 instead of the 
          correct legal rent of $337.93.

          The record reveals that the owner submitted evidence that it  had
          adjusted the rent and had credited the tenant with  a  refund  of
          $1408.55.  The tenant was given an opportunity in the  proceeding
          before the Administrator and in this appeal to refute the owner's 
          assertion regarding the refund.   Since the tenant  has  remained
          silent on this issue, the Commissioner must accept the refund and 
          rent adjustment as evidenced in the record.

          The Commissioner notes that since this administrative proceeding is 
          not de novo, the Commissioner is limited to the dates covered  by
          the Administrator's order.  Consequently, the Commissioner finds, 
          taking the refund into account, there is an outstanding overcharge 
          of $96.96 plus interest on the overcharge occurring on after April 
          1, 1984 or $110.17.

          The owner is directed to refund $110.17 to the tenant if it has not 
          already done so.

          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 granted in 
          part and the Rent Administrator's order be and the same hereby is, 
          modified in accordance with this order and opinion.


          ISSUED:
           


                                                        JOSEPH A. D'AGOSTA
                                                        Deputy Commissioner










               






    

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