Landlord hit with £280,000 bill over illegal flats

A landlord has been told to hand over £280,000 after a judge made a confiscation order under the Proceeds of Crime Act.

David Kohali had turned an outbuilding in Holloway, London, into six small flats some time before 2009.

In that year, he was ordered by the council to stop using the building as flats and to remove kitchens and bathrooms.

He ignored the order and for the next four years flouted other enforcement notices from Islington Council and the planning inspector.

Last year, the council began proceedings for a confiscation order relating to money made by illegally renting out the flats.

A judge at Blackfriars Crown Court has now ruled in the council’s favour and ordered Kohali to pay £280,000.

The sum is made up of a £190,000 fine, a confiscation order of £76,562 and the council’s costs of £15,042.

The confiscation amount must be paid within 28 days and the rest within three months, or Kohali could face prison.

Here’s how the Islington local paper reported the case.

 

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