FOR IMMEDIATE RELEASE	CR

THURSDAY, FEBRUARY 19, 1998                                                                                          (202) 616-2777

                                                                                                                                                         TDD (202) 514-1888







JUSTICE DEPARTMENT SUES MOBILE APARTMENT COMPLEX OWNERS


FOR DISCRIMINATING AGAINST AFRICAN AMERICANS








	WASHINGTON, D.C. -- The Justice Department today reached an
agreement totaling nearly $800,000 that requires the owners and
operators of five apartment complexes in Mobile, Alabama to put
in place a new policy preventing discrimination against African
Americans seeking rentals.  

	Today's agreement, filed in U.S. District Court in Mobile,
resolves allegations that Springdale Stores, Inc. and related
Delaney companies violated the federal Fair Housing Act by
engaging in a practice of discriminating against African
Americans seeking to rent apartments.  Under the agreement, the
companies will compensate individuals who were discriminated
against and will take steps to prevent future discrimination.

	"No American should be refused a place to call home because
of the color of their skin," said Bill Lann Lee, Acting Assistant
Attorney General for Civil Rights.  "We are committed to battling
housing discrimination across the country.  Today's case
demonstrates our commitment." 

	 Lee noted that the action is the second major rental
discrimination case brought in the Mobile area in the past two
year.  Last year the Justice Department reached a similar
settlement with Mitchell Brothers' totaling $1.8 million.

	The Justice Department alleged in a complaint, filed
together with today's settlement, that the companies' employees
falsely informed prospective African American tenants that no
apartments were available while at the same time telling
prospective white tenants that apartments were available.  It
also alleged that the employees steered African Americans toward
certain less desirable sections of the complexes.  The Justice
Department became aware of the allegations during its
investigation into discriminatory practices at complexes owned by
Mitchell Brothers, Inc.

	Today's settlement also resolves a private class action suit
filed by 13 African Americans who had sought housing or lived at
the rental properties at issue.

	Upon being notified of the allegations, the companies'
owners entered into settlement discussions with the Justice
Department and attorneys for the 13 class representatives.	 

	Lee commended the commitment of the Springdale and Delaney
representatives, as well as the class representatives, to
resolving this case and to ensuring compliance with the fair
housing laws. 

	Under today's agreement, the property companies will:

	pay $645,000 to compensate any persons who are victims of
the discriminatory policies;




	pay $135,000 in attorney's fees;




	provide fair housing training for their employees and
publicize the non-discrimination policy at their apartment
complexes and in their advertisements; and,




 	hire an independent third party to test whether non-discrimination 
 policies are being maintained at the
properties.

	

	The properties involved in this settlement are Windsor Place
Apartments, Yester Oaks Apartments, Pathways Apartments,
Sandpiper Apartments, and Cabana Apartments.

	"This case demonstrates again that housing discrimination is
not only illegal under the Fair Housing Act but also expensive to
correct.  Its best to just don't do it," said J. Don Foster, U.S.
Attorney in Mobile.

 	Individuals who believe that they may have been the victims
of housing discrimination at these complexes should call the
Housing Section of the Civil Rights Division of the Justice
Department at 1-800-896-7743 or 202-514-4713.

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