HUD Investigators Search Kenner Housing Authority's Offices

HUD inspectors recently searched the offices of Kenner Housing Authority in Kenner, La., to investigate allegations of mismanagement and financial wrongdoing. According to HUD Regional Director Justin Ormsby, investigators came in quickly to correct any wrongdoings immediately, rather than have the investigation drag out for six months. They are investigating allegations that led to its being deemed a troubled agency.

HUD investigators say they are looking at a wide range of problems, from financial mismanagement to an operational breakdown that may be responsible for dozens of substandard public housing units.

There is much at stake for this troubled agency. HUD inspectors say they will work quickly to try and draw up a plan to make improvements. And if the right steps aren't taken, HUD officials say the Kenner Housing Authority could be dissolved.

HUD's goal now is to come up with a recovery plan to lift the Housing Authority above its current "troubled" status. Unless the board makes changes, it will be up to the current administration of the Kenner Housing Authority to make the improvements recommended by HUD.