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

          APPEAL OF                               DOCKET NO.: EF430032RO

                                                  DISTRICT RENT
               CHAS. BIRDOFF & CO.                ADMINISTRATOR'S DOCKET
               C/O EILEEN O'TOOLE, ATTORNEY       NO.: DJ420013BO


               The above-named owner filed a timely petition for 
          administrative review of an order issued concerning the housing 
          accommodations known as 484 East 74th Street, various apartments, 
          New York, N.Y.

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

               The issue before the Commissioner is whether the 
          Administrator's order was correct.

               The Administrator's order being appealed, DJ420013BO was 
          issued on May 11, 1990.  In that order, the Administrator affirmed 
          the finding of 7M03307M issued October 4, 1989, that the owner be 
          denied eligibility for a 1986/87 Maximum Base Rent (MBR) increase, 
          due to the owner's failure to remit the MBR Fee (Fee) to the 

               On appeal, the owner concedes that it failed to submit the Fee 
          in response to a letter from the Administrator dated April 7, 1989, 
          in which the Administrator explicitly requested fee payment. The 
          owner's failure to submit the fee when requested led to the 
          issuance of the October 4, 1989 order denying eligibility.  In its 
          challenge to that order, which it submitted to the Administrator on
          October 27, 1989, the owner submitted its check #2774, dated 
          November 1, 1989, said check payable to "State of New York-MBR" for 

          ADM. REVIEW DOCKET NO.: EF430032RO

          $180, said amount being the correct amount of owner's liability.  
          The check was returned to the owner by the Administrator.  The 
          owner contends that the Administrator erred by failing to accept 
          the check as payment.

               The Commissioner notes that several tenants responded to the 
          owner's application by alleging the owner is overcharging them and 
          that he is not entitled to the MBR increase, because of failure to 
          timely pay MBR filing fee.  The tenants also are requesting an 
          update of the MBR and MCR for the above mentioned housing 

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

               As noted above the owner has conceded that it did not make 
          payment to the Administrator on a timely basis.  An examination of 
          the record reveals that the owner goes into further detail in 
          explaining why it failed to timely make payment.  The owner 
          explains that it failed to make timely payment due to clerical 
          error at its office.  

               The Commissioner will consider claims of clerical error in 
          allowing the owner to make late payment if that clerical error is 
          a direct result of some action by the DHCR.  Such is not the case 
          before the Commissioner.  Rather, the owner places the blame for 
          its late payment on its own problems with its office staff.

               A challenge proceeding gives the aggrieved party a chance to 
          make an objection of law and/or fact to the Administrator's order 
          granting or denying eligibility.  It is not an opportunity for the 
          party to correct the defects that led the Administrator to make its 
          finding as to eligibility.

               The tenants are advised to file a request for a Rent 
          Registration update, in order to determine the amount of the 
          monthly rent for these individual apartments.

               THEREFORE, in accordance with the provisions of the Rent and 
          Eviction Regulations, it is

               ORDERED, that this petition for administrative review be, and 
          the same hereby is, denied, and that the order of the Rent 

          ADM. REVIEW DOCKET NO.: EF430032RO

          Administrator be, and the same hereby is, affirmed.


                                                  JOSEPH A. D'AGOSTA
                                                  Deputy Commissioner 


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