Fraudulent Landlords In Trouble

The Chief Rent Controller at the Rent Control Department, Addo Soin Dombo, has revealed that the department will from January 2016 start mass prosecution of landlords who flout the law by charging more than six months’ rent advance.

According to him, the Rent Control Act 1963, Act 220, mandates the department to prosecute recalcitrant landlords who fail to pay their rent taxes and those who eject tenants unlawfully.

The Rent Controller said such landlords are liable to 300 penalty units or minimum sentence of six months' imprisonment.

He said section 17 of the Act deals with recovery of possessions by tenants and eviction of tenants by landlords but only applies in a situation where a tenant is convicted by a competent court of jurisdiction.

Mr. Dombo added that under the new Act, the department has been empowered to prosecute, charge five percent fees for services rendered and also establish offices in all the 275 constituencies.

Speaking to the Daily Heritage in an interview, he said the department amended the six- month rent advance prohibition to one year which is going to be strictly monitored by the help of rent inspectors. “Under the new Act, no landlord will be allowed to increase rent within a period of two years.”

He said the department is currently facing a huge financial challenge that is why it lacks the will to implement the laws, adding that there is shortage of staff with only 30 rent professionals for the entire country.

“Accra alone should have at least 20 rent professionals with offices in various municipalities, but currently, we are only three which is woefully inadequate. We have asked for 270 rent officers nationwide since 2010, but are yet to receive any positive response.”

He said if the department is well resourced, the District Assemblies, the Ghana Revenue Authority and the Electricity Company of Ghana will have no problem recouping their property tax, revenue tax and electricity bills from recalcitrant landlords because the department would have the data of all houses in the country.

He revealed that the department has no right to eject a tenant from a house on grounds that the tenant refused to sweep or is a nuisance. Such issues must be reported to the sanitation authorities because they have the power to convict through the Sanitation Court.

“We only come in when the tenants fail to pay rent, cause damage to property or flout the terms that both parties have agreed upon,” he added. 

Mr. Dombo further urged tenants to reject any tenancy agreement that is solely prepared by the landlords without the knowledge of the other party.

The Rent Controller stated that the moment a landlord agrees to rent his or her house it automatically becomes a 'passenger house' and the owner has no supreme authority over the tenants because the government has an interest.

“So you don't act as if the tenants are your dependants, both of you have equal rights and the tenant must not be abused by the landlords,” he opined.

He, therefore, called on Ghanaians to report all rent issues to the department for redress and appealed to the Finance Ministry to approve the appointment of 270 people for the department to enhance efficiency.