Drug growing operation leaves landlord with massive costs

Extensive damage was caused throughout the property by tenant Hoang Van Pham when he installed heat pumps, put plastic sheeting over the windows and cut holes into the ceiling so hot air could be transferred between rooms for his marijuana crop growing enterprise.

A detailed report provided to insurer AMI by a loss adjuster showed at the time of the visit “the illegal substances had been removed by the police, but there was still a large quantity of the tenant’s belongings within the house as well as buckets and plant soil which was being used to grow plants.” AMI says it considers the damage caused by the tenant to be deliberate under the terms of its policy.

The fixed term year-long tenancy began on 3 April last year. Two months later, the landlord, who has name suppression, was alerted about the illegal drug growing operation and damage to the property and applied for termination of the tenancy for abandonment, rent arrears, water charges, refund of the bond, a disposal of goods order, compensation, exemplary damages, and the filing fee. The tenancy was terminated in August last year, with the case part heard. 

A second hearing over compensation and exemplary damages was heard recently, where the landlord produced documentary and photographic evidence and invoices for the repair and replacement costs for intentional carpet, wall and ceiling damage, the removal by Van Pham of the ceiling insulation and the installation of extra electrical cabling and wiring by the tenant.