ORDER AND OPINION                                                      Pg. 2


                                                                      ADMINISTRATIVE REVIEW DOCKET NO.:  FH110093RO  
                                                                           RENT ADMINISTRATOR'S  DOCKET NO.:  CI130144B

     PETITIONER:   Grenadier Realty Corp.

     ADDRESS OF HOUSING      254-26 74th Avenue, Apt. 2                         
     ACCOMMODATION:       Queens, New York 11004

     NAME AND MAILING ADDRESS                                    NAME AND MAILING ADDRESS
     OF OWNER:           Grenadier Realty Corp.          OF TENANTS:          
                         70-33 260th Street            Carole Oberhaus
                         Glen Oaks, New York           254-26 74th Ave., Apt. 2
                    Att:  Carol Kelly                     Glen Oaks, NY

     On September 13, 1991, the Commissioner issued an order dismissing for untimeliness, the 
     administrative appeal filed by the owner on August 2, 1991, appealing an order issued by 
     the Rent Administrator on May 5, 1991.

     Thereafter, the petitioner contacted the Division to protest the dismissal, insisting that 
     the owner had been granted permission to file an administrative appeal at a non-compliance 
     hearing held on July 18, 1991, based on the owner's representation to the Administrative 
     Law Judge (ALJ) that the owner had never been served with the underlying order until a copy 
     of it was received with the Compliance Bureau Notice of Hearing dated June 28, 1991.

     The owner also filed a petition in the Supreme Court pursuant to Article 78 of the Civil 
     Practice Laws and Rules, challenging the dismissal of the administrative appeal as late, 
     making similar arguments.  The Court's decision remanded the proceedings to the Division 
     to afford the agency an opportunity to resolve the issues raised.

     The tape recording of the administrative hearing discloses that, immediately after an off 
     the record conversation, the issue of service of papers was raised for the first time by 
     the owner's attorney.  After a brief discussion on the record, the ALJ indicated that the 
     Compliance Unit Attorney was not prepared to prove service of papers at that time, and 
     therefore adjourned the proceeding, with a recommendation to the owner to file an 
     administrative appeal raising the question of lack of jurisdiction.  The owner proceeded 
     to file a PAR with the Division, which was dismissed on September 13, 1991, for 

     Subsequently, on November 19, 1992, the Compliance Bureau moved to withdraw all charges 
     without prejudice.  A Commissioner's order issued on December 22, 1992, granting the 
     Compliance Bureau's motion to withdraw.

          ORDER AND OPINION                                                      Pg. 2

     In the administrative appeal, the owner stated, in pertinent part, that the owner never 
     received notices of the proceedings below, and that the Compliance Bureau's Notice of 
     Hearing was the first time the owner was advised whatsoever with respect to the services 
     reduction proceedings.

     An examination of the case docket below reveals several notices properly addressed to the 
     owner.  The record includes a copy of the notice and transmittal form (for the tenant's 
     complaint) dated October 28, 1988, to the owner's Managing Agent.  The record also contains 
     a copy of the Administrator's May 5, 1989 order.  There is no indication that these 
     documents were returned by the United States Postal Service.

     However, the transmittal sheet utilized by the DHCR mail clerk to record the parties to 
     whom the order was addressed is not available.  Also, the Supervising Rent Examiner for the 
     case docket is no longer with the agency.  Therefore, it cannot be confirmed from records 
     whether the normal procedures for issuing orders were followed in the underlying services 
     reduction proceedings.

     Upon reviewing the record, the Commissioner finds that the administrative review  
     proceedings should be reopened for further consideration.

     Accordingly, the matter will be reconsidered on the basis of the original Petition for 
     Administrative Review, and relevant comments in reply thereto.

     A copy of the owner's petition is served on the tenant with the instant order to permit the 
     tenant an opportunity to address substantive matters raised in the owner's appeal.

     The tenant is hereby afforded twenty (20) days from the date of this order reopening the 
     Administrative Reviuew proceeding to respond in writing to the issues raised by the 
     petition a copy of which is enclosd.  The writer's comments should be sent to Alice Ryen, 
     Esq., Director, Administrative Review Section of Tenant Services Bureau, at the addres 
     indicated hereinabove.


                                                  JOSEPH A. D'AGOSTA
                                                  Deputy Commissioner

                                             By:  Alice Ryen, 
                                                  Director PAR Unit
                                                  S.C.O.R.E. Bureau               

     cc:  Geoffrey R. Mazel, Esq.
     c/o  Ross, Suchoff, Taraff & Hankin, P.C.

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