NEW YORK, NY September 20, 2007 —A New York state report finds sloppy oversight by the agency that monitors the city's Mitchell Lama affordable housing complexes. WNYC's Cindy Rodriguez reports.

The report says the Department of Housing and Community Renewal failed to enforce rules designed to ensure proper financial management and the fair assignment of apartments. The report found waiting lists at 3 complexes were often ignored or misused.

Two agency employees were also criminally charged with manipulating the lists for their own benefit. At Co-op City in the Bronx, the report finds DHCR paid little attention to the complexes financial statements and improperly approved large contracts. The report says a former co-op board president was indicted earlier this year for taking bribes.

DHCR says the problems occurred under the Pataki administration. It plans to implement several reforms, including hiring auditors to examine waiting lists at 50 buildings. For WNYC, I'm Cindy Rodriguez.