(The Center Square) – As Sanctuary Apartments faces a water shutoff over unpaid bills, Shreveport officials said Tuesday the matter has been turned over to a white-collar crime unit.
During Tuesday’s City Council meeting, City Attorney Marcus Edwards said the Sept. 17 referral comes as the city moves toward shutting off water service at the complex because of an outstanding utility balance owed by the property’s owner, not tenants.
The unit is a collaboration between the Shreveport police, the Caddo Parish Sheriff’s Office and the Caddo Parish District Attorney’s Office.
“I want to be precise about who has gotten the referral because I heard from the DA and he wanted to be certain that we were honed in on that,” Edwards said. “At the appropriate time, it will be referred to the DA’s office from the investigatory bodies which is the white-collar crime unit which is a collaboration prior to being referred to prosecution.”
The referral is not proof of a crime.
Edwards said investigators would need to establish probable cause before pursuing an arrest warrant.
Shreveport Police Chief Deputy Michael Tyler said once the cases assigned to the white-collar crimes unit, investigators will work to determine whether there is probable cause to seek an arrest warrant for the property owner.
“… for not paying that bill if it falls into a criminal act,” Tyler said.
Councilman James Green questioned whether tenants who paid for utilities could recover that money or pursue legal action against the property’s owners.
According to Edwards, tenants would need to pursue a private civil lawsuit against the owners to recover any damages.
City Administrative Officer Tom Dark said he did not know the exact amount the property owners owe, but said the city’s utility department has tried to work with them, including putting them on a payment plan.
“I think at some point we got a check that got returned,” Dark said. “There’s just been a whole series of things that have led to this.”
Councilman Alan Jackson asked how the city could require rent repayments to be placed into escrow now that the property owners are in default, rather than allowing the owners to continue to collect the money.
Edwards said that could be an option through the civil courts. He said tenants who sue a landlord for failing to provide services they are pay for may be able to deposit rent payments into the court’s registry while the case is pending.
