Melanie Ann Carlin of Clancy, a real estate agent, has been fined $150,000 and sentenced to three years of felony probation after she failed to provide lead-based paint disclosures to residents of veteran housing at Fort Harrison. A child in one of the units had to be treated for lead poisoning.
Carlin, 54 years old, pleaded guilty in November 2024 to a charge of knowing endangerment.
Carlin owns 406 Properties in Helena. In 2018, she agreed to provide property management services for rental units known as Freedom’s Path Fort Harrison.
A news release from the U.S. Department of Justice says that in 2018, Carlin agreed to provide property management services for rental units known as Freedom’s Path Fort Harrison. The rentals included multiple homes for military veterans to use as affordable housing. In May 2019, Carlin received and forwarded an email from the Montana Department of Commerce requesting information detailing any lead-based paint remediation completed on the homes because the buildings were constructed before 1978. The buildings were constructed in approximately 1895 and 1905.
Despite the email, in June 2019, Carlin signed two Request for Tenancy Approval Forms for the Fort Harrison rentals. Carlin selected “lead-based paint disclosures do not apply because this property was built on or after January 1, 1978” on the form. Carlin knew the selections were false and did not provide lead-based paint disclosures to veterans seeking residence at Freedom’s Path Fort Harrison.
In September 2019, Carlin attended a meeting to discuss lead-based paint that was peeling at Freedom’s Path Fort Harrison. The meeting agenda identified “lead-based paint peeling in the units – doors won’t shut, paint peels when attempt to shut door” and veterans have identified “chipped paint” in the units. At this point, Carlin knew the buildings were built prior to 1978, and she knew deteriorating lead-based paint was located inside the buildings.
Despite Carlin’s knowledge and extensive real estate experience, she continued to sign forms indicating that the units were free of lead-based paint, or they were built after 1978, none of which was true. In addition, Carlin continued to fail to provide lead-based paint disclosures to the veterans and their families residing in the units.
The government further alleged that in December 2020, Carlin failed to provide a lead-based paint disclosure to a veteran of Freedom’s Path Fort Harrison. In September 2021, an 18-month-old child in the veteran’s home was found eating paint chips inside the unit. Subsequent medical testing confirmed the child had elevated blood lead levels exceeding levels considered to be “very high” and required treatment for lead poisoning. Lead poisoning can have catastrophic effects on children and their development, and Congress requires a warning about the effects of lead poisoning be given when individuals lease homes built prior to 1978.
When interviewed by federal agents, Carlin agreed she was familiar with the requirement to provide lead disclosures and confirmed that no lead disclosures were provided to veterans living in units at Freedom’s Path Fort Harrison. A review of the rental units confirmed lead was present in almost every unit, including the building where the 18-month-old child was present. A subsequent property management company corrected the omission by making lead disclosures to the veterans.
“The defendant placed our military veterans and their children in danger by callously disregarding reporting and disclosure requirements for lead-based paint in rental properties. Lead poisoning can have catastrophic effects on young children and pregnant women,” said Acting Special Agent in Charge Catherine Holston for EPA’s Criminal Investigative Division. “Today’s sentence sends a message that the agency will hold accountable anyone who places our military veterans and their children in harm’s way by violating our environmental laws.”
Mold Wranglers, Inc., a Kalispell-based company that provides hazardous material mitigation services was also sentenced to two years of probation, a $50,000 fine, and $348,000 in restitution to be paid to the U.S. Department of Veterans Affairs for filing false reports for payment to a federal agency, claiming an abatement of lead paint was done at Freedom’s Path Fort Harrison when it was not. The company pleaded guilty to one count of False Claims Act Conspiracy in November 2024.
