Olive and Ernest Mape were living in a building on Molesworth St, Wellington, which was severely damaged by the 2016 earthquakes.

A government unit investigating complaints against landlords has been accused of being toothless after 600 probes resulted in just five landlords being fined a total of $81,000.

Advocacy group Renters United said the figures showed the Tenancy Compliance and Investigation Team (TCIT) were only scratching the surface of problem landlords.

"I don't think these kind of horrendous breaches are that common, but they are definitely happening more frequently than just five a year around the entire country," organiser Robert Whitaker said.

ROSS GIBLIN/STUFF The interior of a wrecked room in the 61 Molesworth St tower building, which was demolished after the November 2016 earthquake.

The largest individual fine was made against Invercargill to Strathvale Investments Ltd director Murray Baird for $38,000 after "repeated and persistent" failures to lodge bond money.

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However, with fines limited to $4000 per breach, Whitaker said weightier deterrences were needed to keep landlords honest.

Having followed some of the compliance team's cases in the past, Whitaker said none of the fines came close to the maximum, despite landlords committing serious breaches.

These included the prosecution of Wellington businessman Eyal Aharoni's company PrimeProperty Group, which rented an office building to tenants on Molesworth St. The company was ordered to pay $600 in damages, after the building was damaged in the 2016 earthquake and demolished.

The team also prosecuted an Auckland landlord who rented out a converted garage to a family. He was ordered to pay $750 in damages.

SUPPLIED Paul Coggan, Operations Manager for Compliance and Investigations at MBIE, said he was happy with the progress the Tenancy Compliance and Investigation Team had made so far.

Whitaker said: "He unlawfully converted his garage, it was a serious health and safety risk, he was repeatedly warned by the council – how grievous does the breach have to be to go up to that $4000?"

"There's probably more work to do to show people the team exists, and for them to seek out and find those cases."

"We are looking forward to the new government maybe looking at the Residential Tenancies Act during the next couple of years, looking at that enforcement, and seeing if there isn't a better way of doing it."

KEVIN STENT/STUFF Building owner Eyal Aharoni in discussions with Mike Scott, manager of building consents and compliance at Wellington City Council as his building at 61 Molesworth St is torn down.

Nearly half of landlords investigated by the TCIT operated flats in Auckland, 8 per cent operated in Christchurch, and 4 per cent operated in Wellington and Hamilton.

The Ministry of Business, Innovation and Employment's operations manager Paul Coggan said another half-dozen cases were scheduled to go before the tribunal, but the vast majority of investigations were settled without resorting to legal action.

These included 150 cases where the team issued warnings, after which the problem was fixed, 80 where no breach could be established, and a number where the issue was solved directly between the tenant and landlord.

The Tenancy Tribunal receives roughly 35,000 applications annually which are settled either through mediation or a decision from the Tribunal.

The compliance team receives cases from either the Tenancy Services website or contact centre, referrals from partner agencies, or by actively auditing landlords with 20-plus properties.

TCIT national manager Steve Watson said the team focussed its resources where there was greatest risk and tenants were most vulnerable.

"The most common issues include failure to maintain the premises, the renting of unlawful dwellings and issues relating to the installation of smoke alarms," he said.

Since taking power Labour has pledged to strengthen renters rights by limiting rent rises to once a year, abolish letting fees, and increase landlords' notice periods to 90 days.



The party also planned to abolish "no-cause" tenancy terminations and require a formula for rental increases in tenancy agreements.

The investigation team were formed after changes to the Residential Tenancies Act (RTA) placed new requirements on rentals to have basic insulation and fire alarms.

FIVE ORDERS OF THE TENANCY TRIBUNAL:

* $38,713 - Issued in Invercargill to Strathvale Investments Ltd director Murray Baird.

* $17,520 - Issued in Hamilton, after a fire broke out in a premises with no smoke alarm.

* $16,590 - Issued to Auckland landlord Satya Silan for renting out an unconsented, converted garage.

* $7520 - Wellington tenants were refunded after Wellington's PrimeProperty Group rented out parts of a commercial bulding subsequently damaged and written off in the 2016 earthquake.

* $1500 - Issued to an Auckland boarding house landlord for failing to install smoke alarms.

This article has been corrected. It previously wrongly reported that Wellington businessman Eyal Aharoni was prosecuted after renting out an earthquake-prone commercial building to residential tenants. In fact, his company PrimeProperty Group Ltd was prosecuted and the Tenancy Tribunal ordered the payment of damages. The building was not designated quake-prone when the 2016 earthquake damaged it. We regret the errors.