William Eichler 22 August 2017

Council prosecutes letting agent for issuing ‘sham licences’

Islington Council has successfully prosecuted a letting agent for issuing ‘sham licences’ in the first prosecution of its kind.

Green Live Ltd was fined £20,500, including compensation for the two victims of the sham licences, after they were reported to the council’s (housing) preventions and options team.

The letting agent issued the licences instead of tenancy agreements. They were designed to make the occupiers believe they had no right to challenge eviction or be given legally defined notice periods or minimum occupancy term periods.

The occupiers also did not benefit from the statutory deposit protection scheme because the agreement was not a tenancy.

The victims of the sham licences first contacted the (housing) preventions and options team at Islington Council in 2016 because they were not able to recover their deposits.

The team then contacted trading standards to alert it to concerns about the sham licences issued to the victims, which triggered an investigation culminating in prosecution.

Green Live Ltd pleaded guilty to two offences under the Consumer Protection from Unfair Trading Regulations 2008 relating to the issuing of licences to occupy where the fact gave rise to a tenancy.

The company also pleaded guilty to a further offence under the regulations of using a letting agency association logo where it was not a member.

Green Live Ltd was fined £11,000 for the two sham licences issued and £5000 for the misuse of a logo. The two victims of the sham licences were awarded compensation totalling £3000 and Islington Council was awarded costs of £1500.

‘We want everyone in Islington to have a decent, secure home, and to be protected from illegal and precarious housing conditions,’ said Cllr Diarmaid Ward, Islington Council’s executive member for housing and development.

‘This case, which we believe is the first of its kind in the country, shows we will take action where letting agents break the law and issue sham licences.

‘We will not tolerate illegal practices like sham licences in Islington and if we become aware of any similar cases we will investigate with a view to prosecution.’

SIGN UP
For your free daily news bulletin
Highways jobs

Residential Worker

Durham County Council
£30,024 - £33,699 plus allowances
WHAT WE DO MATTERS The team at Aycliffe Secure Centre provide a caring, trauma informed and aspirational environment for young people aged between 10 Newton Aycliffe
Recuriter: Durham County Council

Occupational Therapist

Oxfordshire County Council
£38220 - £40777
Help us deliver our vision for adult social care in Oxfordshire About us At Oxfordshire County Council, you do not just work for us… you learn, grow, and thrive with us. Whatever your career aspirations are in adult social care, we are here to supp Banbury
Recuriter: Oxfordshire County Council

Community Support Worker - South Essex

Essex County Council
£25395.00 - £32131.00 per annum
Community Support Worker - South EssexPermanent, Full Time£25,395 to £32,131 per annumLocation
Recuriter: Essex County Council

Programme Engagement Officer (Thurrock)

Essex County Council
£26485.00 - £31158.00 per annum + + 26 Days Leave & Local Gov Pension
Programme Engagement Officer (Thurrock)Permanent, Full Time£26,485 to £31,158 per annumLocation
Recuriter: Essex County Council

Chief Finance Officer (Section 151 Officer)

Somerset Council
Competitive, with a package commensurate with experience
A career-defining leadership role in one of England’s most important new unitary authorities Somerset / Hybrid (2–3 days per week on site on average)
Recuriter: Somerset Council
Linkedin Banner