2002-12-02 -- Rodriguez, Ismael -- Guilty Plea -- News Release

Essex County Sheriff's Officer Admits Defrauding HUD Housing Program

TRENTON - An Essex County Sheriff's Officer today admitted defrauding a federal housing program that gives law enforcement officers homes at half-price in urban neighborhoods, U.S. Attorney Christopher J. Christie announced.

Ismael Rodriguez, 50, admitted that he lied on an application to the federal Department of Housing and Urban Development (HUD), making it possible for him to get two half-priced homes under the special program designed to put law enforcement officers into homes in redeveloping neighborhoods.

"This was simply shameful conduct," Christie said. "This program was generous to Rodriguez and helpful to the community. A law enforcement officer conducting this kind of fraud against his own community needs to be prosecuted to the fullest."

Rodriguez pleaded guilty before U.S. District Judge Anne E. Thompson to a one-count Information charging him with making false statements to HUD. He faces a maximum penalty of five years in prison and a $250,000 fine, according to Assistant U.S. Attorney Brian R. Howe. Sentencing was set for March 11.

HUD runs a federal housing assistance program - the "Officer Next Door Sales Program" - under which it sells homes located in areas designated for revitalization to law enforcement officers at a 50-percent discount in price. In exchange for the substantially reduced price, law enforcement officials are required to own and use the home as a sole residence for at least three years, and not own any other residential property.

Rodriguez admitted to making false statements in May 2000 to HUD in connection with his application under the Officer Next Door Sales Program to purchase a $100,000 home located at 527 Parker Street in Newark. Rodriguez admitted that he did not plan to divest himself of other residential properties he owned, as required under the program.

Rodriguez acknowledged at the plea hearing to making false statements to HUD just six months earlier in November 1999 when he applied under the Officer Next Door Sales Program for a another, $34,000 home located at 33 Martin Luther King Boulevard in Newark. Rodriguez admitted that he was required to live at this residence for a minimum of three years. Thus, Rodriguez was in violation for buying the second home.

Under U.S. Sentencing Guidelines, Judge Thompson will determine Rodriguez's actual sentence based on a formula that takes into account the severity and characteristics of the offense and Rodriguez's criminal history, if any.

Parole has been abolished in the federal system. Under Sentencing Guidelines, defendants who are given custodial terms must serve nearly all that time.

Christie credited Special Agents of the HUD Inspector General's Office in Newark, under the direction of Special Agent in Charge Ruth Ritzema, for their work in developing the case.

The Government is represented by Assistant U.S. Attorney Brian R. Howe of the U.S. Attorney's Criminal Division in Newark.

Defense Attorney: Cathy Waldor, Esq. West Orange