FOR IMMEDIATE RELEASE CR

THURSDAY, DECEMBER 1, 1994 (202) 616-2765

TDD (202) 514-1888

JUSTICE DEPARTMENT WINS SETTLEMENT AGAINST CHICAGO LANDLORD

FOR SEXUALLY HARASSING TENANTS

WASHINGTON, D.C. -- A Chicago landlord who tried to evict

female tenants who denied his sexual advances must sell his
building and pay $180,000 in damages and civil penalties under an
agreement reached today with the Justice Department.
The consent decree, signed today by Judge Ruben Castillo in
U.S. District Court in Chicago, resolves a March 1993 suit filed
by the Justice Department alleging that Gheorghi Nedialkov
engaged in a pattern of sexual harassment in violation of the
Fair Housing Act. The suit is only the second case in the
country ever filed in federal court alleging a pattern of sexual
harassment in housing.
The Justice Department suit accused Nedialkov of demanding
sex, touching female tenants, offering rent reduction in exchange
for sex and attempting to evict women who denied his advances or
reported him to authorities.
"No woman should feel unsafe in her own home," said
Assistant Attorney General for Civil Rights Deval L. Patrick.
"The decree is a significant victory for these victims and sends
a message to all unscrupulous landlords that sexual harassment of
tenants can violate federal law."
The Justice Department became aware of the allegations after
Frentzee Cacok, a tenant in the building, filed a sexual
harassment complaint with the Department of Housing and Urban
Development. In reviewing her allegations, HUD discovered that a
local housing group, the Lawyers' Committee for Better Housing,
had already sued Nedialkov on behalf of three other female
complainants. HUD then forwarded the matter in January 1993 to
the Justice Department, which investigated the incidents,
discovered an additional female victim, and filed its federal
suit. A sixth female victim was later identified.
The decree prohibits Nedialkov from managing any apartment
building for at least four years, mandates that he sell the
building, restricts him from entering the building unless he is
accompanied by representatives of the management company, forbids
him from talking with tenants, and requires him to pay $150,000
in damages to the six women and $30,000 in civil penalties to the
U.S. treasury.
Today's agreement also resolves the suit filed by the
Lawyers' Committee for Better Housing.
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