Delaware AG launches investigation into Wilmington landlord after dozens displaced

Delaware Attorney General Kathy Jennings on Thursday announced she is investigating Wilmington property owner Adolph J. (A.J.) Pokorny after seven of his buildings on North Adams Street were condemned, displacing dozens of residents.

Residents of roughly 30 households were forced out of their apartments Monday after an exterior wall between 816 and 818 N. Adams St. in the Trinity Vicinity neighborhood collapsed, prompting an inspection of 27 apartment units at 808-820 N. Adams St. that found hundreds of code violations.

“We are working closely with our partners in the city of Wilmington as we launch a full investigation,” Jennings said in a Thursday news release. “My heart goes out to the tenants and families who were affected by this harrowing ordeal.”

Wilmington’s Department of Licenses & Inspections on Tuesday issued an emergency order to the owner and landlord, Pokorny, detailing 372 code violations found in the buildings.

BACKGROUND: Wilmington landlord of condemned apartments has long history of property neglect

BULIDINGS CONDEMNED: Dozens displaced after partial collapse of North Adams Street apartment in Wilmington

HOUSING WOES: Why it is so hard to find affordable housing in Delaware

Those violations, found by the structural engineer contracted by the city, Larsen & Landis, included bowing, cracked and unsupported exterior brick walls; wood-framed decks without adequate supports; unrepaired fire damage in some basements; load-bearing walls without adequate supports; and water infiltration from holes in the foundation.

State Department of Justice spokesperson Caroline De Jose said they are in the preliminary stages of the investigation, adding that attorneys are looking at violations of the consumer fraud act “and possibly other statutes.”

“The DOJ has very limited enforcement powers under the landlord-tenant code, none of which are applicable here,” she said. “However, that doesn't mean in certain situations we can't use other tools that might be available to us; we're exploring what is applicable for us here.”

De Jose said Wilmington officials are involved in the investigation but advised a reporter to contact city staff for information on “what portions fall within their jurisdiction.”

Mayor Mike Purzycki’s deputy chief of staff John Rago had little information regarding the probe when contacted Thursday afternoon.

The city later put out a news release thanking Jennings for her office's pursuit in the matter and pledging cooperation with the state agency.

“The city appreciates the efforts of the Delaware Department of Justice related to this property owner and landlord. The city is actively partnering with the state in its probe," Purzycki said in the release. "Our city records are readily available to the state as we too seek justice.”

These same buildings were previously condemned by city inspectors in 2006 for similar safety and hazard issues, including broken smoke detectors, exposed wiring, problems with the fire escape and roof, and rotting wood siding.

It is unclear when the last time city crews inspected Pokorny’s North Adams Street properties. Wilmington officials say they are gathering documents and information regarding Pokorny’s previous interactions with city departments but have yet to release that information. The News Journal has also submitted a Freedom of Information Act request for these records.

State attorneys are investigating Pokorny for potential violations of the Consumer Fraud Act, which Pokorny was accused of violating in 2000 for repeatedly failing to make repairs and address renters’ complaints at his buildings.

Pokorny was under a consent order in 2002 – the conditions of which will be considered in the latest investigation – requiring that he maintain his properties or face up to $25,000 in fines for each future code violation. He also had to pay $15,910 in fines, legal fees, and restitution to some tenants.

Yet, four years later, three buildings owned by Pokorny on North Adams Street were condemned by Wilmington officials because of uninhabitable conditions.

It appears the attorney general did not get involved in any issues with Pokorny’s properties after the 2002 consent order.

The state attorney previously investigated Scott Walker in 2016 and Metropolitan Management in 2017 for violations of the Consumer Fraud Act.

Walker, a frequent yet unsuccessful political candidate for federal and state office, was accused by state, New Castle County and Wilmington officials of running "a sham charity" that housed about "150 tenants in deplorable conditions" and tried to "strip them of their rights," according to News Journal archives.

Metropolitan Management in 2017 was accused of violating the Consumer Fraud Act by advertising free heat, hot water and 24-hour emergency repairs at their rentals, but leaving tenants without heat and hot water for days in the dead of winter and ignoring maintenance requests, archives show.

State officials are asking anyone with information regarding the latest issues with Pokorny and his properties to contact the Consumer Protection hotline at 302-577-8600, or toll-free at 800-220-5424. People can also file a complaint online on the attorney general’s website.

Got a tip? Contact Amanda Fries at afries@delawareonline.com, or by calling 302-598-5507. Follow her on Twitter at @mandy_fries.

This article originally appeared on Delaware News Journal: Delaware AG to investigate Wilmington landlord after dozens displaced