Landlord couple fined £190,000 after evading HMO licensing at six properties
A landlord couple who avoided licensing six of their 600 properties in East London have been fined almost £190,000.
Husband and wife Lahrie Mohamed and Shehara Lahrie, directors of at least 28 property companies, claimed they were renting the six HMOs to a single tenant, which was in fact their letting agent; one HMO in Eastfield Road (pictured), Walthamstow, was home to seven people under four tenancies, which they said was one household.
Last May, the pair lost two judicial reviews against Waltham Forest Council in a landmark ruling after first being summonsed to magistrates’ court in 2017. The council was represented legal firm Sharpe Pritchard.
Their legal challenges were dismissed and the court ruled that the council was not required to demonstrate that they were aware their properties were being used as unlicensed HMOs.
£1,000 fee
For a Leytonstone property, in Napier Road, they received more than £33,000 in rent a year without having to pay the £1,000 licence fee or management costs.
Mohamed Lahrie’s lawyer, Imran Khan QC, (pictured) said the properties were just 1% of their property portfolio and insisted the financial benefit of not declaring these six HMOs was “miniscule”.
He added: “Mr Mohamed arrived in this country with little money in his pocket and built up a portfolio over two or three decades, through hard work with his wife.
“That property portfolio has been engaged in providing safe and fit homes for many of the residents of Waltham Forest. Mr Mohamed, as a result of this case, has sold his portfolio of properties.”
Outside the court, Lahrie told the Local Democracy Reporting Service: “I have learned my lesson and I regret what I did.”
At the start of the hearing, letting agent Station Estates Limited was formally cleared of charges against it after the council offered no evidence. According to Companies House, the agency was declared bankrupt in May 2019.
Read more about HMO licensing fines.
©1999 – Present | Parkmatic Publications Ltd. All rights reserved | LandlordZONE® – Landlord couple fined £190,000 after evading HMO licensing at six properties | LandlordZONE.
View Full Article: Landlord couple fined £190,000 after evading HMO licensing at six properties
Post comment
Categories
- Landlords (19)
- Real Estate (9)
- Renewables & Green Issues (1)
- Rental Property Investment (1)
- Tenants (21)
- Uncategorized (11,917)
Archives
- December 2024 (44)
- November 2024 (64)
- October 2024 (82)
- September 2024 (69)
- August 2024 (55)
- July 2024 (64)
- June 2024 (54)
- May 2024 (73)
- April 2024 (59)
- March 2024 (49)
- February 2024 (57)
- January 2024 (58)
- December 2023 (56)
- November 2023 (59)
- October 2023 (67)
- September 2023 (136)
- August 2023 (131)
- July 2023 (129)
- June 2023 (128)
- May 2023 (140)
- April 2023 (121)
- March 2023 (168)
- February 2023 (155)
- January 2023 (152)
- December 2022 (136)
- November 2022 (158)
- October 2022 (146)
- September 2022 (148)
- August 2022 (169)
- July 2022 (124)
- June 2022 (124)
- May 2022 (130)
- April 2022 (116)
- March 2022 (155)
- February 2022 (124)
- January 2022 (120)
- December 2021 (117)
- November 2021 (139)
- October 2021 (130)
- September 2021 (138)
- August 2021 (110)
- July 2021 (110)
- June 2021 (60)
- May 2021 (127)
- April 2021 (122)
- March 2021 (156)
- February 2021 (154)
- January 2021 (133)
- December 2020 (126)
- November 2020 (159)
- October 2020 (169)
- September 2020 (181)
- August 2020 (147)
- July 2020 (172)
- June 2020 (158)
- May 2020 (177)
- April 2020 (188)
- March 2020 (234)
- February 2020 (212)
- January 2020 (164)
- December 2019 (107)
- November 2019 (131)
- October 2019 (145)
- September 2019 (123)
- August 2019 (112)
- July 2019 (93)
- June 2019 (82)
- May 2019 (94)
- April 2019 (88)
- March 2019 (78)
- February 2019 (77)
- January 2019 (71)
- December 2018 (37)
- November 2018 (85)
- October 2018 (108)
- September 2018 (110)
- August 2018 (135)
- July 2018 (140)
- June 2018 (118)
- May 2018 (113)
- April 2018 (64)
- March 2018 (96)
- February 2018 (82)
- January 2018 (92)
- December 2017 (62)
- November 2017 (100)
- October 2017 (105)
- September 2017 (97)
- August 2017 (101)
- July 2017 (104)
- June 2017 (155)
- May 2017 (135)
- April 2017 (113)
- March 2017 (138)
- February 2017 (150)
- January 2017 (127)
- December 2016 (90)
- November 2016 (135)
- October 2016 (149)
- September 2016 (135)
- August 2016 (48)
- July 2016 (52)
- June 2016 (54)
- May 2016 (52)
- April 2016 (24)
- October 2014 (8)
- April 2012 (2)
- December 2011 (2)
- November 2011 (10)
- October 2011 (9)
- September 2011 (9)
- August 2011 (3)
Calendar
Recent Posts
- Landlords could pay tenants up to two years’ rent for failing Decent Homes Standard as PBSA is exempt
- Landlords’ Rights Bill: Let’s tell the government what we want
- 2025 will be crucial for leasehold reform as secondary legislation takes shape
- Reeves inflationary budget puts mockers on Bank Base Rate reduction
- How to Avoid SDLT Hikes In 2025