There are several common policies that are important for an organization to have.
Fraud involves the illegal use of property or money or lies about financial or other information, with an intent to trick or fool.
Fraud can cause serious problems for an organization—including cash shortages, court actions, legal fees and loss of reputation. It could compromise your financial resources and your ability to provide housing to your tenants or members.
An act of fraud committed by an individual associated with the management of the group is a criminal act.
The best way to prevent fraud is to have clear and tight controls that make it as difficult as possible for an individual, or a group of individuals, to commit a fraudulent act without being discovered.
Fraudulent activities include:
- Stealing money
- Theft of rental receipts
- Made-up expenses
- Theft of property
Late payments and eviction
Eviction (or expulsion in co-operatives) refers to a legal process that enables the housing provider to seek an order to end a lease agreement or occupancy agreement.
Non-payment and repeated late payments (called arrears) are the most common reasons for evicting a tenant or expelling a co-operative member.
Social housing managers need to strike a balance between compassion for an individual resident’s circumstances and the viability of the housing organization. In most areas, a board can evict tenants or expel co-operative members for non-payment or repeated late payments and if they or one of their guests does something they should not, or does not do something they should.
- causing damage to the property
- engaging in illegal activity
- affecting the safety of others
- disturbing the enjoyment of other residents
- having too many people living in the unit ("overcrowding")
- misrepresenting their income
- interfering in the housing provider’s / landlord’s interests and rights