6 Jun 2019

Dodgy landlord ordered to pay $180,000

From Checkpoint, 5:09 pm on 6 June 2019

A landlord who rented out substandard accommodation including illegal garage conversions has been ordered to stump up nearly $180,000 after the Tenancy Tribunal found she knowingly failed to lodge bonds. 

Widhani Iskandar - also known as Debbie - has been ordered to immediately register almost $120,000 in missing bond money with the Tenancy Bond Centre.

That money relates to 81 different cases. 

She has also been fined more that $47,000 dollars for committing unlawful acts under the Residential Tenancies Act.

A number of her tenants were vulnerable people on limited incomes who were desperate for a roof over their heads in the middle of a housing crisis. 

Debbie Iskandar also rented houses and then sublet them on to multiple tenants unbeknown to the properties owners. 

She told Checkpoint she had done "the best I can".
 
"Back then I was just overwhelmed so much with the demand of, you know, of the people that wanted to stay. And I believe at that time if I just have a support - like administration support, you know, to support me - I would do better."

When challenged that she had been renting out illegal properties, Ms Iskandar said: "I didn't own those houses, I lease the house. So I had no idea whether the studio or the garage is legal or illegal at that time."

She said she was taking responsibility.

"It comes to the core of my heart that I knew I did the best I can for the people back then."

She said she had quit the rental business completely and she said she did not have money to pay her fines. She claimed it had been "returned to the people".

The Ministry of Business Innovation and Employment investigated Debbie Iskandar and said her behaviour and deception was the lowest kind of behaviour for a landlord, and that she wilfully broke laws. 

Acting general manager of housing and tenancy services Steve Watson told Checkpoint it was a significant case.

"What it does is send a message to landlords that you can't treat tenants like this, that you have to obey the law, and to behave like this is completely unacceptable," Mr Watson said.

He said she was breaching the Residential Tenancy Act and that lodging bonds was legally required.

"She's required to lodge $119,625 which is bond money that she had taken from tenants, and she's required to lodge that with the Tenancy Bond Centre here at MBIE, where we will work out where it should be dispersed, whether it needs to be retained or whether it needs to be returned to the tenants. 

"In addition, she has been ordered to pay $47,600 for committing unlawful acts under the Residential Tenancies Act. That money will be divided up proportionately amongst the tenants who have been wronged through her actions. And that's by way of exemplary damages to compensate them for what's happened to them. 

"In addition, there is an amount of approximately $11,000 which is administrative costs and tribunal and application costs that she will be required to pay back to the government."

Ms Iskandar said she had lodged the bonds, however Mr Watson said he had not seen it. He said they would check on Friday after bank processing to see if she had.

"We haven't received any money as yet and we will be following that up very soon ... I'm yet to see any evidence of that."

He said her behaviour as a landlord was "unprofessional and completely unacceptable".

Ms Iskandar has denied being in the rental business any longer, but no legislation prevents her from doing so. 

Mr Watson said MBIE could, however, continue to monitor her behaviour.