Between 2016 and 2017, Pearl resident James Roe appeared to treat Black and white prospective renters of apartments in Pearl differently, steering potential white renters to certain facilities and Black prospects to others, a lawsuit filed by the U.S. Department of Justice is claiming. The federal government named three apartment complexes in Pearl that it alleges were involved in the racial discrimination: Pearl Manor, Oak Manor, and 468 Place Townhomes. SSM Properties, LLC owned and operated them. This reporter made unsuccessful attempts to reach James Roe, with no response to calls to the same number listed online for Pearl Manor and 486 Place Townhomes.

The Louisiana Fair Housing Action Center, based in New Orleans, LA.,conducted the tests that formed the basis for the case. In their findings, LaFHAC alleged that Roe, a manager of SSM Properties, LLC, a company based in Pearl in the Jackson metro, engaged in housing racial discrimination.

In November, DOJ sued Steve Maulding, the company owner, his wife, company agent Sheila Maulding and employee Roe. The court, on Nov. 12, demanded a response from the defendants latest Dec. 14. The court clerk told this reporter Monday that the defendants had not filed a response.

LaFHAC said housing centers across the Gulf South get calls from African American residents who encountered suspected discriminatory actions that barred them from neighborhoods of opportunity, which prompted the testing project they carried out.

"Housing providers discriminate by quoting African Americans higher rents or security deposits than their white counterparts, requiring African Americans to undergo more formal application processes, and generally providing them with subpar customer service," LaFHAC's report, "Denials, Discount, and Discrimination: An Investigation into Racial Discrimination in Rental Practices in the Gulf South," stated. "Meanwhile, prospective white renters are often given incentives for renting units, told of more availability and, at times, steered to what property managers describe as 'better' complexes, which are usually those in better condition, with higher concentrations of white tenants, located in predominantly-white neighborhoods."

Cashauna Hill, LaFHAC's executive director, told the Jackson Free Press that the organization challenges discriminatory practices and policies. It sent out testers in four metropolitan statistical areas across three states: New Orleans, Houston, Dallas and Jackson. They concluded that Black people received differential treatment more than half the time.

"A lack of value that is placed on Black lives regularly shows up in our housing market," Hill said of the center's findings, which detected "a very clear pattern of discrimination" in the rental markets.

"One of the things it's really important to keep in mind is that discrimination when it comes to racial discrimination is often so much more disguised and hidden," Hill said. "And so it's very difficult for, for instance, for an African American to know that they've experienced discrimination if they don't have that (opportunity) of comparing their treatment to the treatment of a white prospective renter. And that's why testing is so important."

Hill said the observed discrimination indicates a lack of welcome for African Americans. "And we know that because of how a white prospective home seeker is treated in comparison," Hill added.

How LaFHAC Did The Test

Each test involved one white and one African American matched in income, career paths, family types, and rental history going to the same apartment, with the primary difference being race. They tested random advertised rental units in predominantly white neighborhoods, with a minimum of 70% of white people and 30% poverty or less.

"All testers were qualified for the units in which they expressed interest, with the protected class tester possessing slightly more favorable characteristics," the LaFHAC report said. "This means that, in all instances, the African American testers were objectively more qualified than the white testers. All variables were held constant except for race—the variable being tested."

"More than half the time when an African American sought to reside in a high opportunity area, they faced at least one form of discrimination," the document stated about the research overall.

The organization's finding revealed that Black testers in the Jackson metro experienced differential treatment by apartment operatives at a rate of 46%.

Out of the 240 properties covered in the project, 65 were in the Jackson metro. Of the 65 paired tests, African American testers experienced unfavorable treatment in 31 of those tests. They experienced six refusals to rent, received less favorable terms and conditions in nine properties, and saw four differences in eligibility requirements and 24 differences in available units or complexes offered, shown or advised.

"Agents steered testers to different units than those about which they initially inquired on five occasions," the document said. "Steering occurred primarily to the benefit of white testers, who were often advised of units, complexes, and areas in the Jackson area that the leasing agents deemed to be of a better quality."

On two occasions, property managers verbally encouraged white testers to live in Rankin County, with 77.3% white population, instead of Hinds County, with 69.1% Black population, according to the 2010 Census.

"On another occasion, only the white tester was told about availability at a second complex that had a more stringent application process," the report states. The document quoted the Jackson metro estate agent as saying: "I'm real picky on who I'll consider to live at (the second complex)" and "We don't tolerate crap over there."

"At another property, an agent highly encouraged a white tester to consider a second unit the agent managed and offered to leave a key in the mailbox so the white tester could view the inside of the unit at their convenience," the document added. "The agent told the white tester that they would get along with the neighbors, but could not elaborate further "by law."

"The African American tester, who spoke to the agent prior to their white counterpart, was not told of this additional available unit," the report added. LaFHAC said steering contributes to segregated housing patterns.

It added that the report is not a statistical study but an investigation designed to give a snapshot of the rental market and educate the community about housing discrimination and segregation.

Discrimination: 'Certainly Happening'

Hill expects more lawsuits filed in the future based on their research. "Racial discrimination in housing in the Jackson area is certainly happening, and if there are any folks in Jackson city who believe that the area is immune from this type of treatment, we know that that is not true," she said.

The November federal court filing, which represents one side of a legal dispute, indicated that Roe seemed to guide Black people to Oak Manor and white people to 468 Place Townhomes and Pearl Manor. SSM Properties, LLC, the case states, sold Oak Manor in 2018.

"Defendant Roe repeatedly steered White testers to Pearl Manor and away from Oak Manor by encouraging White testers to rent at Pearl Manor, highlighting the positive aspects of the property, and telling White testers that they would be 'happy' and 'fit in' there," the federal government stated in the brief. "Roe also discouraged White testers from renting at Oak Manor, telling one White tester that he would 'not be happy' there because Roe himself would not be happy there."

"Roe told another White tester that he would be 'happier' at Pearl Manor than at Oak Manor, and told another White tester that the Oak Manor residents would 'take advantage' of him," the federal brief stated.

Roe reportedly did not inform Black testers whether there were available units in Pearl Manor, and sometimes did not mention the property.

"He told one Black tester, Tanshenetta Veals, words to the effect, 'I can't put you at Pearl Manor,'" the suit claimed. "Them old men'll have a heart attack. They'll be thinking I done let the zoo out again."

"Defendant Roe told Black testers that units were not available when, in fact, they were. For example, Roe told Veals on the phone that a unit at the Townhomes was available," the complaint alleged. "However, when Veals arrived at the office, Roe said words to the effect, 'You ain't nothing what I expected," and told her the unit had been rented.'"

"Approximately three hours later, Roe told a White tester that there was an available unit at the Townhomes," it continues. "During another test, Roe told the Black tester that no units would be available until the end of that month, but told the White tester that a unit would be available at Pearl Manor the following week."

Another aspect of the case indicated that Roe insisted that prospective Black renters fulfill more stringent conditions and face more rigorous questioning before approval.

"Defendant Roe refused to show units to Black testers until their rental applications were approved, but showed units to White testers who did not have approved applications," the lawsuit claimed. "Defendant Roe subjected Black testers to more detailed questions about their financial status and ability to pay than White testers."

"Roe told a Black Tester, Herschel Williams, that he could not rent to him if he was starting a job in the future but was not currently employed, but did not refuse to rent to White testers in similar circumstances," it added. "Roe also asked Williams detailed questions about his monthly expenses that he did not ask of White testers, even when they revealed that they were experiencing financial hardship."

MAA Against Discrimination

Mississippi Apartment Association Vice President James Burwell disclosed to Jackson Free Press that SSM Properties, LLC, is not a member of the organization, which is affiliated with the National Apartment Association. SSM did not participate in its regular seminars on the Fair Housing Act, he said.

Burwell described the Act, first enacted in 1968 and amended in 1988, as a landmark piece of legislation.

"(MAA) stands firmly on and with the tenets of the Fair Housing Act," he said. "It is a cornerstone of providing rental housing, not just in Mississippi, but across the country."

Burwell said that MAA, which is comprised of due-paying management companies, apartment or rental housing providers, and materials and services suppliers to rental properties, does not condone or support racial, sexual, age, gender discrimination at any level.

"The Fair Housing Act," the DOJ said on its website, "prohibits discrimination by direct providers of housing, such as landlords and real estate companies as well as other entities, such as municipalities, banks or other lending institutions and homeowners insurance companies whose discriminatory practices make housing unavailable to persons because of: race or color, religion, sex, national origin, familial status, or disability."

LaFHAC's document explained the effects of race-based discriminatory practices on the wellbeing of affected Black people.

"After examining the methods of housing discrimination uncovered by this investigation, it's clear that discriminatory practices perpetuate segregation and keep African Americans out of neighborhoods of higher opportunity," the document explained. "Discriminatory acts by housing providers limit home seekers' choices, and they also influence housing patterns based on provider assumptions and prejudices."

"Discouraging comments about a unit or one's suitability as a tenant not only impact housing choice but also are hurtful," it added. "Steering directly contributes to segregated housing patterns.

"Denying someone the opportunity to view or rent a unit often means that home seekers are left with more expensive, less convenient, and less safe housing. When these practices are prevalent—and this investigation shows they occurred more than half the time—the impact on the lives of African Americans is far-reaching, harmful, and pervasive."

SSM owner Steven Maulding declined an interview for this piece. "I don't have any statement," he told this reporter at his home in Pearl.

Please email story tips to city/county reporter Kayode Crown at kayode@ jacksonfreepress.com. Follow him on Twitter at @kayodecrown.