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Agency boss to pay £8,000 after using ‘terrifying’ tactics to bully tenants – LandlordZONE

Mark Helprin by Mark Helprin
July 10, 2023
in Real Estate
Agency boss to pay £8,000 after using ‘terrifying’ tactics to bully tenants – LandlordZONE
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A rogue letting agency boss who used heavies to scare tenants and misled them about their rights has been ordered to pay £8,000.

Four residents complained to Tower Hamlets Council’s environmental health and trading standards team about London Corporate Apartments Ltd (LCA), which at the time was based in serviced business offices (main picture) and had operated both as a letting agency and a landlord via rent-to-rent arrangements.

The council found LCA had issued licenses to occupy, rather than assured short-hold tenancies, which meant the tenants were misled about their tenancy deposit protection rights, and their rights as tenants, and were at risk of illegal eviction.

There were also complaints that aggressive tactics had been used to intimidate two of the tenants into leaving their properties.

Director Khaled Abed-Alrazek admitted two counts of misleading actions and one of aggressive commercial practice relating to his tenants from February 2017 to May 2018.

During this period his company was expelled from the The Property Ombudsman scheme for failing to return a tenant’s deposit and that year was also fined £5,000 for operating as a letting agency without membership of a redress scheme.

Fines and costs

He was fined £3,800 for the offences and told to pay £1,255 compensation for the two deposits that weren’t returned, along with a further £285 compensation to one victim relating to the aggressive commercial practice, in what District Judge Matthew Bone described as “a terrifying experience at the hands of bullies acting in [Abed’s] name”.

Abed-Alrazek was also ordered to £3,000 in costs. The company was dissolved earlier this year.

kabir ahmed landlord fine tower hamlets councillor

Councillor Kabir Ahmed (pictured), cabinet member for regeneration, inclusive development and housebuilding, says it was a difficult case. He adds: “Everyone has the right to rent a house without fear of intimidation and the correct legal rights.

“We encourage all our residents to report any dishonest landlords so we can take action.”

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