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HUD discovers billions in potentially improper rental aid payments to renters

HUD discovers billions in potentially improper rental aid payments to renters

HUD Report Uncovers Billions in Questionable Rental Assistance Payments

A recent report from the U.S. Department of Housing and Urban Development (HUD) has highlighted that a significant amount of taxpayer money was allocated to “questionable” recipients of rental assistance during former President Joe Biden’s administration.

According to HUD’s Agency Financial Report for fiscal year 2025, roughly 30,000 deceased individuals were among the recipients, in addition to many alleged noncitizens. This information surfaced in a copy obtained by a media outlet.

Officials from HUD indicated that a large portion of these funds were distributed in states like New York, California, and Washington, D.C., and notably, deceased recipients were identified across all 50 states.

To address these concerns, HUD implemented a system to compare its records with the U.S. Treasury Department’s database. This review revealed over 30,000 deceased individuals who were either currently enrolled in rental assistance programs or received funds post-approval. The findings were part of an internal financial analysis conducted by HUD.

HUD Secretary Scott Turner pointed out in a statement that this misuse of taxpayer dollars not only occurred during Biden’s presidency but was also exacerbated by a lack of robust fiscal controls during his tenure, leading to billions in potential improper payments.

Turner stated, “HUD will keep investigating these alarming findings and take necessary actions against those involved.” He also emphasized the department’s commitment to improving the integrity of the rental assistance program, building on earlier efforts from the Trump administration.

In fiscal year 2024 alone, HUD distributed about $50 billion in rental subsidies to various entities, which included $5.8 billion flagged as “questionable payments.”

The report critiqued the Biden administration for promoting funding with insufficient oversight and failing to equip HUD with the necessary tools for monitoring compliance with the complex regulations surrounding rental aid. It also highlighted the trust placed on non-federal agencies receiving these funds.

Moving forward, HUD will assess the extent of any wrongdoing before deciding if funding should be suspended or if criminal charges are warranted.

Officials reiterated that measures are now in place to revoke or suspend funding to hold any wrongdoers accountable, and potential criminal actions will be considered if misconduct is confirmed.

As of now, attempts to contact former HUD Secretary Marcia Fudge for comments have been made.

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