491 Fugitives Hiding in Public Housing Arrested in Nationwide Sweep

A multi-month law enforcement operation has led to the arrests of 491 criminal fugitives living in government-assisted housing.

The multi-agency initiative, Operation Clean House, was carried out by the Department of Housing and Urban Development’s (HUD’s) Office of Inspector General (OIG) along with the U.S. Marshals Service and other state and local law enforcement partners across 12 cities, including Memphis, New York, Chicago, Los Angeles, Columbus, and Minneapolis, HUD said in an Oct. 8 statement.

“We will not allow criminal predators and fraudsters to use HUD housing as a haven or live freely on the taxpayer’s dime,” HUD Secretary Scott Turner said in the statement.

“Operation Clean House removed dangerous drug traffickers, rapists, and sex offenders and delivered real accountability. President Trump promised to restore once-great American cities, and we are fulfilling that promise by making our communities safer.”

The arrested individuals include those wanted for serious criminal offenses such as rape, murder, aggravated assault, sex offenses against children, drug trafficking, manufacturing incendiary devices, and weapons offenses, HUD–OIG said in an Oct. 5 statement. Authorities seized 10 firearms as part of the operation.

The operation was part of a wider effort to ensure safe and secure HUD-assisted housing.

In a Sept. 28 statement, the OIG had announced the arrests of 41 fugitives living in the Philadelphia region in federally subsidized properties. The violent offenders included those linked to offenses against children, arson, armed robbery, and shooting.

Stopping HUD Fraud

As part of efforts to tackle fraud plaguing housing programs, a grand jury indicted four individuals last month in a $7.3 million mortgage fraud scheme targeting Federal Housing Administration (FHA) and Veterans Affairs (VA) programs, the OIG said in a Sept. 21 statement.

The indictment alleges that defendants conspired to qualify ineligible borrowers for FHA, VA, and conventional mortgage loans by falsifying employment, income, and bank records, as well as other financial documents.

“Stopping fraud in the VA Home Loan Program is not just about protecting resources—it’s about safeguarding the benefits that our veterans have earned,” Inspector General Cheryl L. Mason of the Department of Veterans Affairs said in the statement.

Moreover, HUD–OIG has conducted audits on the use of taxpayer funds in housing programs and identified instances of improper payments.

On Sept. 22, the federal watchdog announced the results of two major audits that found more than $2.7 billion in projected improper payments annually across two rental assistance programs.

The OIG identified $1.29 billion in improper payments in a multifamily rental assistance program and $1.43 billion in improper payments in the Public and Indian Housing Tenant-Based Rental Assistance program.

The watchdog highlighted that these improper payments reflect funds that did not reach seniors, low-income families, and disabled individuals. Errors in the programs included incorrect rent and income calculations, outdated documentation, and missing eligibility documentation.

For nine straight years, HUD failed to produce the required improper payment estimates for these programs, as mandated by the Payment Integrity Information Act, OIG said.

“These audits reinforce the critical role oversight plays in protecting taxpayer dollars,” Assistant Inspector General for Audit Kilah S. White said in the statement.

“Improper payments at this scale are not just accounting issues; they are missed opportunities to support American families. Our work ensures that federal housing resources are spent properly, efficiently, and with integrity.”

The OIG called on HUD leadership to strengthen oversight of public housing agencies, implement quality control measures to ensure the collection of accurate tenant information, simplify burdensome requirements, and modernize processes.

OIG said that improved payment accuracy in such programs is critical because it would result in more rental assistance available to qualifying families.