“You made a conscious decision to take advantage of a terrible situation,” Rose told Draines on Tuesday. “It’s a sad case for you, the community, the people who trusted you to serve them. And a bad case for your family.
A Dayton Daily News investigation revealed that Draines ― through his company, Freedom for Living Property Management — collected rent assistance payments on behalf of tenants without their knowledge, including some whose rent was covered by public assistance programs such as Section 8.
Freedom for Living was paid $410,568 for 68 properties through a federal CARES Act program created by Montgomery County and administered by Miami Valley Community Action Partnership (MVCAP) to help people stay in their homes amid the pandemic.
Federal prosecutors requested that Draines be handed a prison sentence of 27 months, as outlined in Draines’ plea agreement.
Assistant U.S. Attorney George Painter pointed to the need to protect citizens and to deter people from committing white collar crime. He also pointed to Draines’ telling his tenants they did not have to talk to federal agents about the case, calling it an obstruction to the investigation.
Draines’ attorney, James Fleisher, said on Tuesday that his client has been working to pay restitution for misused funds. The court ordered that he pay the remaining restitution of $83,368 to MVCAP and $11,574 to the Ohio Department of Job and Family Services.
He also told Rose that Draines has no criminal history prior to this case.
No fines were to be imposed on Draines, the judge ruled. Rose also ordered that Draines serve three years of supervised release following his imprisonment.
Draines on Tuesday addressed the court, saying he was “ashamed.”
He said he regretted the impact the case had on the community and his Section 8 clients, as some of his tenants had to relocate after Draines’ housing lost its Section 8 status.
Draines said he benefited from public assistance in his youth.
“I never would have thought I’d be at this place in life, after climbing up all these mountains,” Draines said.
By the Numbers:
18: Number of months Draines was sentenced to prison
94,942: Remaining amount in restitution owed
410,568: Amount awarded to Draines’ rental company through a federal CARES Act program
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