DEFENDANT MANAGES VARIOUS RENTAL UNITS IN THE CHICAGO AREA, INDIANA, AND OHIO (OVER 5,515 UNITS SUBJECT TO SECTION 1018) MOST OF THE BUILDINGS WERE CONSTRUCTED PRIOR TO 1978, WHICH MEANS THAT DEFENDATS MUST PERFORM VARIOUS DISCLOSURE ACTIVI- TIES AS REQUIRED BY SECTION 1018 AND IS IMPLEMENTING REGULA- TIONS. THE U.S. EPA ISSUED A SUBPOENA TO DEFENDANT REQUEST- ING ALL LEASE AND DISCLOSURE DOCUMENTATION SINCE SEPTEMBER, 1996, WHICH WAS THE EFFECTIVE DATE OF THE REGULATIONS. ALSO THE U.S. EPA RECEIVED INFORMAITON FROM THE CHICAGO DEPART- MENT OF PUBLIC HEALTH (CDPH) PERTAINING TO THE PRESENCE OF LEAD POISONED CHILDREN AND LEAD-BASED PAINT IN UNITS MANAGED BY EAST LAKE. THE DOCUMENTATION RECEIVED FROM EAST LAKE IN THEIR RESPONSE TO THE SUBPOENA SHOWED THAT EAST LAKE FAILED TO PROPERLY PERFORM DISCLOSURE ACTIVITIES IN 57.84% OF THE LEASES REVIEWED ON A UNIT-BY-UNIT BASIS )450 OUT OF 778 UNITS REVIEWED). ALSO, 89 POISONED CHILDREN RESIDE OR HAVE RECENTLY RESIDED IN UNITS MANAGED BY HYDE PARK, AND MOST OF THESE UNITS HAVE BEEN INSPECTED BY THE CDPH FOR LEAD. THE PURPOSE OF THE REFERRAL IS TO REACH A QUICK SETTLEMENT WITH DEFENDANT WHICH ADDRESSES THE HUMAN HEALTH CONCERNS POSED BY ONGOING POISONING OF CHILDREN RESIDING IN UNITS MANAGED BY IT. IN OAK PARK & EAST LAKE, DOJ HAS FILED A COMPLAINT AND LODGED A CONSENT DECREE. COMPLAINT FILED AND CD LODGED ON 1