Officer landlord says he's broke

Raleigh properties were trouble spots

RALEIGH -- The city police sergeant whose Southeast Raleigh rental houses repeatedly draw fellow officers on drug, prostitution and assault calls has filed for bankruptcy.

Court records show Sgt. Tommy Newman of Wake Forest and his wife, Deborah, will surrender seven houses and lots in Southeast Raleigh, plus an eighth in Zebulon.

On all those houses, they owe nearly $4,500 in property tax, and $22,000 in federal and state income tax.

Newman, a 24-year veteran of the Raleigh police force, declined to comment Tuesday.

His Southeast Raleigh properties are frequent topics at community meetings, where outraged residents describe a steady stream of prostitutes and drug dealers.

Newman earned $79,247 in 2007 and $119,185 the year before from his rental properties, his bankruptcy filing showed.

Between 2001 and 2007, Newman's 10 Southeast Raleigh properties racked up 86 calls for cocaine sales and soliciting prostitution -- among other offenses, police reports show.

On top of that, city inspectors cited his property for housing code and public nuisance violations 13 times in those years. Blight grew so bad at a row of Newman's duplexes on East Jones Street that the city bought them for $320,000 after photographing holes in the walls stuffed with squashed beer cans.

Just this year, Newman's rental house at 1201 E. Jones St. has drawn officers six times, calls that include drug sales and assault with a knife, police reports show.

"I think it's going to be better," said Joyce Kelly, a neighbor who lives near the East Jones Street house. "It depends on who they put in there. I would imagine the inspectors would condemn that house."

Chapter 7 bankruptcy, for which the Newmans filed April 30, is designed for people with insufficient money to pay debts. It often results in liquidation of assets, and it does not automatically eliminate certain debts -- such as taxes.

A trustee in the case, bankruptcy attorney David Warren in Rocky Mount, said he expected the case to be resolved in about 60 days. SunTrust Bank is the creditor for each house, and Southeast Raleigh leaders hope the transfer will lead to a turnaround with each of them.

"I would rather see those houses rehabbed," said Octavia Rainey, chairwoman of the North Central Citizens Advisory Council.

After hearing news of Newman's property last year, several City Council members called for officers to be held to a higher standard.

Raleigh police officers were required to submit lists of property that they and their relatives owned.

After a police investigation last year, City Manager Russell Allen said Newman was operating all his properties lawfully. Residents living near them, though, persist with complaints about Newman's houses to officers giving neighborhood crime updates.

"I really don't have any idea why more isn't being done," Sgt. Richard Armstrong told the North Central CAC in May.

Since then, the council has considered adding tenants' criminal activity to a set of rules that can trigger fines and mandatory classes for landlords -- a debate that continued at City Hall on Tuesday.