[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR792.202]



[Page 33]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

 CHAPTER VII--OFFICE OF THE SECRETARY, DEPARTMENT OF HOUSING AND URBAN 

 DEVELOPMENT (HOUSING ASSISTANCE PROGRAMS AND PUBLIC AND INDIAN HOUSING 

                                PROGRAMS)

 

PART 792_PUBLIC HOUSING AGENCY SECTION 8 FRAUD RECOVERIES--Table of 

Contents

 

                  Subpart B_Recovery of Section 8 Funds

 

Sec.  792.202  PHA retention of proceeds.



    (a) Where the PHA is the principal party initiating or sustaining an 

action to recover amounts from tenants that are due as a result of fraud 

and abuse, the PHA may retain, the greater of:

    (1) Fifty percent of the amount it actually collects from a 

judgment, litigation (including settlement of lawsuit) or an 

administrative repayment agreement pursuant to, or incorporating the 

requirements of, Sec.  982.555 of this title; or

    (2) Reasonable and necessary costs that the PHA incurs related to 

the collection from a judgment, litigation (including settlement of 

lawsuit) or an administrative repayment agreement pursuant to, or 

incorporating the requirements of, Sec.  982.555 of this title. 

Reasonable and necessary costs include the costs of the investigation, 

legal fees and collection agency fees.

    (b) If HUD incurs costs on behalf of the PHA in obtaining the 

judgment, these costs must be deducted from the amount to be retained by 

the PHA.



[59 FR 9409, Feb. 28, 1994, as amended at 64 FR 26640, May 14, 1999]