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Hampton landlord sentenced for fraud and racial harassment

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Monday, December 23, 2024

Hampton landlord sentenced for fraud and racial harassment

Attorneys & Judges
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U.S. Attorney Jessica D. Aber | U.S. Department of Justice

A Hampton landlord, David L. Merryman, has been sentenced to 17 years in prison for wire fraud, aggravated identity theft, and racially motivated interference with housing and employment. The sentencing took place in Newport News, Virginia.

Court documents reveal that Merryman owned numerous rental properties in Newport News and Hampton. Many of these properties were in poor condition and located in low-income neighborhoods. He primarily rented to underprivileged African American tenants who had limited credit and housing options.

From 2019 until at least January 2024, Merryman engaged in a scheme to obtain rent relief benefits fraudulently. He collected large initial payments such as security deposits and prepaid rent from tenants while intending to evict them quickly to repeat the process with new tenants.

“David Merryman deliberately targeted families of color with limited means and housing options,” stated Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia. She emphasized the responsibility landlords have to uphold housing rights and protect tenant dignity.

Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office, highlighted how Merryman exploited his position as a landlord to profit from his tenants' economic vulnerability. “He not only sought out tenants with few housing options but then continued to racially harass and subject them to unsuitable living conditions,” he said.

Rae Oliver Davis, Inspector General for the U.S. Department of Housing and Urban Development, condemned Merryman's actions as "repulsive disregard" for the law and tenant well-being.

Merryman was found guilty of using racial slurs, making comments about slavery, issuing death threats, and engaging in assaultive conduct against his minority tenants. He also interfered with their employment rights by threatening racial harassment.

The court heard that Merryman fabricated lease documents with incorrect information, forged signatures, and falsely claimed authorization on behalf of tenants. During the COVID-19 pandemic, he filed fraudulent rent relief applications using tenant information without consent while still pursuing eviction actions against them for unpaid rent.

In one case involving a tenant identified as L.G., Merryman made racially derogatory responses to repair requests and threatened her family’s safety. Another tenant named E.P., who faced eviction despite Merryman obtaining $15,100 in rent relief on her behalf without her knowledge or consent during her hospitalization.

Additionally, after failing to complete a construction project for a customer identified as E.S., Merryman threatened him even after a protective order was obtained against him.

Assistant U.S. Attorneys D. Mack Coleman, Julie D. Podlesni, and Brian J. Samuels prosecuted the case.

Further details can be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia or through PACER by searching Case No. 4:24-cr-4.

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