Press Release  Lowell Non-Profit Director Arraigned For Alleged Large-Scale Rental Assistance Fraud Scheme

LOWELL — Massachusetts Attorney General Andrea Joy Campbell today announced that Pipheak “Tom” Sun, 51, of Pepperell, was arraigned in Middlesex Superior Court for allegedly abusing his position as the former Director of Housing and Consumer Education of the Lowell non-profit agency Community Teamwork, Inc (CTI) to orchestrate a large-scale rental assistance fraud scheme. Following a joint investigation from the Attorney General’s Office (AGO) and Office the Inspector General (OIG), Sun is alleged to have misappropriated over $280,000 in rental assistance funds that were earmarked for individuals and families experiencing housing crises.  

Sun pled not guilty to one count of Larceny over $1,200, six counts of Larceny over $1,200 by Scheme, one count of Attempt to Commit Larceny over $1,200, one count of Solicitation to Commit Larceny over $1,200, and five counts of Identity Fraud. A scheduling conference has been set in Middlesex Superior Court on March 10. 

“As the cost of living continues to rise and Massachusetts residents grapple with our housing crisis, it is critical that resources designated to help families pay their rent end up in the right hands,” said AG Campbell. “I am grateful for Inspector General Shapiro’s partnership on this case. I will continue to prosecute anyone who abuses their positions to exploit our vulnerable residents to line their own pockets.” 

"The indictments allege a deliberate scheme to defraud a program designed to help people keep a roof over their heads," said Inspector General Jeffrey S. Shapiro. "The OIG will continue to work with the Attorney General's Office to safeguard public resources and hold those who enrich themselves at the expense of these resources to account."   

CTI is a non-profit agency in Lowell that administers rental assistance programs, including by providing rental assistance payments on behalf of qualifying tenants directly to their landlords. From 2021 through 2023, Sun allegedly used his position as Director of Housing and Consumer Education to create false rental assistance applications that claimed that various tenants lived at his friends’ and families’ properties. Over this time period, Sun fraudulently redirected approximately $23,000 of CTI’s funds into his and his wife’s own bank accounts and facilitated $259,000 in rental assistance payments to five additional family members and friends that Sun fraudulently purported to be landlords of qualifying tenants. Investigators believe Sun received kickbacks of approximately 60% of these payments, made mainly in cash. 

As part of his scheme, Sun allegedly submitted five emergency rental assistance applications using the personal identifying information of at least four different individuals without their authorization. 

All of these charges are allegations, and the defendant is presumed innocent until proven guilty. 

This matter is being handled by Assistant Attorneys General Christina Lindberg and Jesse Coulon of the AGO's White Collar and Public Integrity Division, with assistance from Senior Financial Investigator Jonathan Pitts and Lead Investigator Emily Smith from OIG’s Audit, Oversight, and Investigations Division.

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