Evening star., 1949-12-04
New FHA Rules
Allow Landlords
To Pick Tenants
Policy in Restrictive
Covenants Clarified
By Housing Agency

Franklin D. Richards, head Of
the Federal Housing Administra-
ton, said last night the Govern
ment's new ti-discrimination
housing policy is not designed to
prevent landlords from selecting
their own tenants or buyers.
Moving quickly to dispel vide
spread confusion over the Gov
ernments action Friday forbid
ding FHA aid to builders who file
covenants racially restricting use
or occupancy of a property, Mr..
Richards said:
These amendments do not at
tempt to control any owner in
determining what tenants he shall
have or to whom he shall sell
his property"
The FHA head took the un-
usual step of calling his staff to-
gether on Saturday so that a
statement could be prepared to
clarity the policy outlined by
Solicitor General Philip B. Pearl
man in New York Friday.
Policy Praised and Criticized.
The housing officials clarif1ca.
ton came in the form of a state
ment to all FHA field offices and
authorized them to use it "in any
way advisable to make clear what
the FHA amendments will and
will not cover
Mr.. Richards action came after
storm of praise and criticism
had greeted Mr.. Perlman's state
ment before the New York State
Committee ON Discrimination in
Housing that the FHA is amend
ing it's rules so as to refuse to aid
the financing of any properties,
the occupancy or use of which
is restricted on the basis of race
or creed or color
Typical of the mixed reaction
were statements yesterday from
Representatives Boggs and Hebert.
Louisiana, Democrat, and from
Edgar G. Brown. director Of the
National Negro Council.
The entire FILA program in the
South might be undermined by
the new policy, the Louisiana
Representatives said.
Reputation of Congress Seen.
THE ruling is a repudiation Of
the wishes Of Congress, Mr..
Boggs asserted. whenever a
housing bill has been considered
in Congress, attempts at barring
segregation have been defeated.
Mr.. Herbert declared "the Ad-
ministration is again taking ad-
vantage of the South. 1t gives
further proof and clearly indi-
Gates that those of us who have
been and are presently fighting
Mr.. Trumans administration have
just. cause to fight. As the days
go on. our position becomes clearer
and clearer" "
Acting for the National Negro
Council, with headquarters in
Washington. Mr.. Brown wired
President Truman, who is vaca-
tioning at Key West. Fla. that
the action speaks volumes for:
your craftsmanship. official integ-
rity and personal sincerity
Both Mr.. Perlman in his ad-
dress and Presidential Secretary
William D. Hassett explained that
Mr.. Truman was aware the pol.
icy announcement would be made.
Richards Explains Rules.
In seeking to clear up what he
termed "any misunderstanding"
in connection with the policy
statement as made public by Mr..
Perlman, Mr.. Richards said:
"The essential statement re-
garding this action is the follow
ing paragraph from the initial
public statement:
Under the amendments to be
issued, no property will be eligible
for FILA mortgage insurance if.
after a date to be specified in the
amendments. and before the FILA
insured mortgage is recorded.
there has been recorded a cove
nant racially restricting the use or
occupancy Of the property
THE date referred to is future
date which will be covered in the
amendments when they are issued.
The amendments will be issued
sufficiently in advance Of the
effective date to put all interested
parties on notice
In Line With Court Decisions,
Emphasizing that the policy was
adopted to bring FaA practices in
line with Supreme Court decisions
declaring that restrictive racial
covenants cannot be enforced in
State or Federal Courts. Mr.. Rich
ards told field Office directors: -
" want particularly to call your
attention to the following facts.
tSee HOUSING, Page A-4.)