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13 charged in Oregon mortgage fraud allegations
2009-12-11 21:53:00
A federal grand jury sitting in Eugene, Oregon , yesterday returned indictments against thirteen individuals on a variety of mortgage and loan fraud charges arising out of the collapse of Desert Sun Development (DSD), a company previously headquartered in Bend, Oregon. From 2004 through 2008, DSD built commercial buildings and residential housing throughout Central Oregon. According to the indictments, DSD principals and other defendants caused financial institutions to lose more than $19 million. In total, five separate indictments were returned. Arraignments of all defendants are scheduled for December 16, 2009, before the Honorable Magistrate Judge Thomas Coffin in Eugene. [Press Release]“These indictments represent a significant step in the government’s efforts to detect and prosecute mortgage fraud,” said Acting U.S. Attorney Kent S. Robinson. “The conduct alleged in these indictments is typical of what has caused so much havoc in the mortgage and financi...
More About: Fraud , Mortgage Fraud , Mortgage , Indictments

Maryland Mortgage Fraud Task Force holds press conference - updates
2009-12-10 23:22:00
Maryland Mortgage Fraud Task Force members highlighted their progress and plans in a press conference today, [Press Release] including the filing of criminal, civil, and regulatory actions against more than 250 individuals and companies in 2009. U.S. Attorney Rod J. Rosenstein said, ?The Mortgage Fraud Task Force, established in 2009, aims to punish past offenders and deter future violations. Local, state and federal regulatory and investigative agencies are working together to identify mortgage fraud schemes and pursue the various enforcement tools available to our partner agencies. More than 50 individuals and businesses have been charged with criminal mortgage fraud offenses in federal and state courts this year, and many of them have been convicted and sent to prison. Partner agencies also have filed civil and administrative actions to shut down unlawful schemes. With the additional resources now devoted to mortgage fraud, we expect even more cases to be prosecuted in 2010. Our ...
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Maryland title company owner indicted - accused of diverting mortgage proce
2009-12-10 23:19:00
A federal grand jury has indicted Daniel E. Fink Jr., age 43, of Baltimore, for wire fraud and money laundering. Fink owned and operated Homemaxx Title & Escrow LLC (Homemaxx), a title company that conducted residential real estate closings with offices in Middle River and Parkville, Maryland . From February 2003 to July 2004, Fink is alleged to have caused Homemaxx to fail to pay outstanding first mortgages on real estate transactions or to record deeds in the real estate records of local and state governments. [Press Release] Fink allegedly transferred substantial amounts of money from a Homemaxx escrow account into other Homemaxx accounts, as well as to accounts not associated with Homemaxx, and used the money intended to be disbursed pursuant to a HUD-1 for personal expenditures unrelated to real estate transactions. In connection with a particular real estate refinancing transaction by one of his customers, Fink diverted funds from the escrow account and then used the procee...
More About: Mortgage Fraud , Company , Mortgage , Indictments

Two loan officers indicted in Maryland mortgage fraud allegations
2009-12-10 23:15:00
After an investigation conducted by the U.S. Department of Housing and Urban Development - Office of Inspector General, the Federal Bureau of Investigation and the Maryland Department of Labor, Licensing and Regulation - Division of Financial Regulation, a federal indictment was returned on December 8, 2009 against two loan officers employed at a mortgage brokerage in Annapolis, Maryland. [Press Release] From April 2006 to February 2009, James William Fox II, age 39, of Crofton, Maryland, and James Hooper Dan age 45, of Annapolis, Maryland are alleged to have identified potential victims who were unable to make the mortgage loan payments on their homes. Instead of “rescuing”the victims from foreclosure as promised, the defendants allegedly obtained new mortgage loans in their own names or in the names of “straw purchasers” at even higher monthly mortgage payments than the victims had originally been paying, stripped the properties of equity, falsified informa...
More About: Fraud , Mortgage Fraud , Loan , Mortgage

Baltimore mortgage broker charged with theft of proceeds from refinance
2009-12-10 23:10:00
On December 8, 2009, the Maryland Attorney General’s Office charged David Young Park, age 43, the former President of Capital City Financial Group in Ellicott City, with theft in Baltimore County Circuit Court. In June of 2007, Park was allegedly working as a mortgage broker and assisted the victim with the refinance of her home. The victim intended to use the more than $100,000 in equity to purchase a commercial condo for her business. Following settlement, Park allegedly obtained the victim’s proceeds from the title company without the victim’s knowledge, deposited them into his escrow account and spent the money on various personal and business expenses over the course of two weeks. Felony theft is punishable in Maryland by a maximum sentence of 15 years incarceration and a $25,000 fine. Originally referred by the Maryland Department of Labor, Licensing and Regulation - Division of Financial Regulation, the investigation was conducted by the Attorney General&rsq...
More About: Mortgage Fraud , Mortgage , Indictments

Maryland Commissioner of Financial Regulation takes action against loan mod
2009-12-10 22:27:00
The Maryland Commissioner of Financial Regulation has taken action against a number of loan modification companies. This information was contained in a press release from the United States Attorney in Maryland. U.S. Equity Solutions, LLC, Mortgage Rehabilitation, LLC., Rodney Scott Getlan, Chad Edwards, Brent MacDonald, Jennifer Streaks, Richman and Associates, Inc., and others on November 24, 2009 for allegedly engaging in illegal loan modification activities by collecting up-front fees from over 160 Maryland homeowners in default on their residential mortgage loans, in exchange for promises to assist them in obtaining a loan modification from their mortgage lender, and failing to obtain a Maryland credit services business license.  These Respondents operated primarily out of Maryland, with the exception of Richman and Associates, which operated out of California. Save My Home USA Co., Inc., LM Processing, Jason McCallum, Chad Buchanan, Justin McCallum, and others...
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Maryland DLLR suspends mortgage broker licences, alleges fraud
2009-12-10 22:21:00
In the following press release The Maryland Department of Labor, Licensing and Regulation’s Office of the Commissioner of Financial Regulation, as part of its ongoing crackdown against mortgage fraud, today issued cease-and-desist orders in three additional cases in which entities and individuals are accused of illegal activities that victimized Maryland homeowners. “Today’s actions are part of an ongoing enforcement effort to protect consumers from operators of foreclosure rescue scams and other forms of mortgage fraud,” said Alexander M. Sanchez, Secretary of Labor, Licensing and Regulation. The Office of the Commissioner of Financial Regulation has taken these actions: Summarily suspended the Maryland Mortgage Lender License and Mortgage Loan Originator licenses of ATT Mortgage Co,. Shawpin Jong a/k/a/ Steve Chung, and other affiliated companies and individuals. They are accused of engaging in, or conspiring to engage in, mortgage fraud (in violation of t...
More About: Fraud , Broker

Former B of A employee pleads guilty to providing false VOD's
2009-12-10 06:04:00
A former Bank of America employee was convicted of wire fraud today in federal court for creating false documents to secure approval of mortgage loan applications. United States Attorney Carmen M. Ortiz; Warren T. Bamford, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division; and Susan Dukes, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation - Boston Field Office, announced today that CLARISTA BRAMBLE, age 59, of Randolph, MA, pled guilty before Senior U.S. District Judge Joseph L. Tauro to an Information charging her with nine counts of wire fraud. At today’s plea hearing, the prosecutor told the Court that had the case proceeded to trial the Government’s evidence would have proven that during the time BRAMBLE was a bank employee from December 2006 to July 2007, she created false bank documents reporting fictitious balances for accounts in the names of people applying for loans from mortgage lending compani...
More About: Mortgage Fraud , Massachusetts , Employee

Blaine (MN) man pleads guilty to defrauding CitiMortgage
2009-12-09 22:33:00
In the following press release B. Todd Jones, United States Attorney for the District of Minnesota announced that a 35-year-old Blaine man has pleaded guilty to defrauding CitiMortgage out of $588,200.51 through a mortgage fraud scheme. Appearing before United States District Court Judge John Tunheim in Minneapolis earlier today, Jeffrey Michael Taylor pleaded guilty to one count of conspiracy to commit wire fraud in connection with this crime. Taylor was charged on November 13, 2009.In his plea agreement, Taylor, the owner of First Solution Lending, a mortgage lending company in Maple Grove, admitted conspiring with an unnamed person to obtain money by securing a second mortgage on an Arizona property based on a fraudulent loan application.Taylor acquired the Arizona property in April 2005 for $1.5 million, and in March 2006, he attempted to sell it for $1.85 million. He held little equity in the vacation get-away. When the property failed to sell, Taylor initiated his fraud scheme...
More About: Mortgage Fraud , Broker

Two indicted in Twin Cities flipping fraud allegations involving 35 homes
2009-12-09 22:27:00
In the following press release B. Todd Jones, United States Attorney for the District of Minnesota announced that a federal indictment was unsealed today against a Minnesota pair for allegedly orchestrating a mortgage fraud scheme in which they stole more than $2.5 million from lenders nationally by obtaining fraudulent loans for the purchase of 35 homes in the Twin Cities . The indictment charges Zack Zafer Dyab, 45, of Golden Valley, and Julia Alexander Rozhansky, 45, of Minnetonka, with one count of conspiracy to commit wire fraud, six counts of mortgage fraud through use of interstate wires, and one count of engaging in a monetary transaction involving criminally derived property.The indictment alleges the defendants conspired to induce through fraudulent means numerous mortgage lenders throughout the U.S. to loan substantial sums of money to unindicted co-conspirators, who were relatives of Rozhansky. From 2003 through 2006, Dyab and Rozhansky allegedly recruited these co-conspi...
More About: Fraud , Mortgage Fraud , Indictments

5 charged in PA based foreclosure rescue fraud scheme allegations
2009-12-09 03:00:00
In the following press release it was announced that a 15-count Indictment was filed today against five defendants charged in a $14.6 million mortgage fraud scheme that resulted in at least 35 fraudulent mortgage loans. The announcment was made by United States Attorney Michael L. Levy, Special Agent-in-Charge of the FBI Janice K. Fedarcyk, and Pennsylvania Secretary of Banking Steven Kaplan. Charged are Edward G. McCusker and John Alford Bariana, owners of Axxium Mortgage, Inc [website likely to go offline] McCusker’s wife, Jacqueline, and Jeffrey A. Bennett and Stephen G. Doherty, owners of the Doylestown law firm Bennett & Doherty, P.C [website likely to go offline]According to the indictment, the defendants targeted financially distressed homeowners facing foreclosure, falsely promised them help in saving their homes, engaged in real estate transactions with straw purchasers, and obtained dozens of fraudulent mortgages. The defendants took whatever equity the homeowner...
More About: Fraud , Mortgage Fraud , Foreclosure , Indictments , Rescue

MN man pleads guilty in a 172 property mortgage fraud scheme
2009-12-09 02:13:00
In the following press release B. Todd Jones, United States Attorney for the District of Minnesota announced that a 27-year-old Webster man pleaded guilty today in federal court to bilking more than $7 million from at least 15 real estate mortgage lending companies between 2005 and 2008. Appearing before United States District Court Judge Richard Kyle in St. Paul, Dustin LaFavre pleaded guilty to one count of conspiracy to commit mail and wire fraud in connection with this crime. LaFavre was charged on November 5, 2009.In his plea agreement, LaFavre admitted he conspired with a licensed real estate broker, identified as “Individual 1,” to defraud the mortgage lenders. Specifically, he and individual 1 solicited real estate buyers by telling them they would receive significant cash from the proceeds of the mortgage loans. With the assistance of Individual 1, LaFavre then negotiated the value of single pieces of property as well as property groupings, known as bulk purchas...
More About: Fraud , Property , Mortgage Fraud , Mortgage

Bethesda man pleads guilty in multi-million dollar mortgage fraud scheme
2009-12-08 23:51:00
Michael Milan, 49, of Bethesda, Md., pleaded guilty yesterday to conspiracy to commit mail and wire fraud for his role in carrying out a multi-million dollar mortgage fraud scheme. Neil H. MacBride, United States Attorney for the Eastern District of Virginia, and Joseph Persichini Jr., Assistant Director in Charge of the FBI Washington Field Office, made the announcement after the plea was accepted by United States District Judge T.S. Ellis, III. Milan faces a maximum penalty of 20 years in prison when he is sentenced on Feb. 12, 2010. As part of his guilty plea, Milan has agreed to pay restitution of $3,141,409 and to forfeit $1,061,890.31 in proceeds he obtained. In a statement of facts filed with his plea agreement, Milan admitted that he was a consultant to various mortgage brokerage companies and conspired with others to defraud mortgage lenders into lending funds for the purchase and refinance of residential properties. Milan caused his associates to prepare false mortgage app...
More About: Fraud , Mortgage Fraud , Dollar , Mortgage , Multi

Oklahoma mortgage broker banned by Georgia DBF
2009-12-08 23:44:00
On November 23, 2009, the Georgia Department of Banking and Finance (“Department”) announced that it has entered into a Consent Order with Gateway Mortgage Group, LLC, License Number 20712, located at 6910 E. 14th Street, Tulsa, Oklahoma 74112, and its president, John Kevin Stitt, to resolve allegations pertaining to violations of the Georgia Residential Mortgage Act and agency rules. The Consent Order shows that the broker made false statements and made material misrepresentations in mortgage applications. The order includes the following terms: The voluntary surrender of Gateway Mortgage Group, LLC’s mortgage lender’s license was effective on August 26, 2009, which is the date on which the surrender of this license was acknowledged by the Department.  Gateway Mortgage Group, LLC can never apply to the Department for another license to be a Georgia mortgage lender or to be a Georgia mortgage broker;  No company with a direct or indirect affiliatio...
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7 charged in Kansas City property flip fraud allegations
2009-12-08 23:29:00
In the following press release Matt J. Whitworth, United States Attorney for the Western District of Missouri, announced today that seven Kansas City , Mo., residents have been indicted by a federal grand jury for their roles in a mortgage fraud scheme that involved the purchase of a $605,000 house in Parkville, Mo. Lloyd Claerhout, 26, Scott J. Schirmer, 32, William R. Wonder III, 31, David E. Twitty, 27, Cameron D. Bennett, 34, Jennifer R. Hernandez, 37, and Katherine S. Sartain, 53, all of Kansas City-North, were charged in a two-count indictment returned by a federal grand jury in Kansas City. The federal indictment alleges that each of the defendants participated in a conspiracy to commit bank fraud from July to October 2007. In addition to the conspiracy, each defendant is charged with one count of bank fraud. According to the indictment, the defendants planned to purchase the property for $605,000 then immediately re-sell it at a profit. Schirmer allegedly located a residentia...
More About: Fraud , Property , Indictments

Three charged in Detroit area builder bail out fraud allegations
2009-09-20 07:35:00
In the following press release Terrence Berg United States Attorney for the Eastern District of Michigan announced that James Wiese, 38, of Birmingham, Ilir Dokaj, 33, and Tom Gjokaj, 52, both of Sterling Heights, were indicted today by a federal grand jury in Detroit for scheming to obtain $7,557,100 from federally insured banks through fraudulent mortgages on twelve Birmingham homes. Berg was joined in the announcement by Andrew C. Arena, FBI Special Agent in Charge.The 2-count indictment charges that James Wiese, through his company Great Lakes Custom Builder, LLC, purchased twelve residential properties in Birmingham, Michigan in 2004 and 2005. Many of these property sites originally had smaller homes located on them, which had been demolished. Wiese built new houses on the twelve sites, expecting to make a profit when the new houses were sold.James Wiese, Ilir Dokaj and Tom Gjokaj devised a scheme in which Gjokaj would be the straw buyer and purchase all twelve of the newly con...
More About: Fraud , Mortgage Fraud , Indictments , Area

CEO of lender surrenders in allegations he same loans twice
2009-09-20 07:27:00
In the following press release the FBI in Newark, NJ announced that David Findel [who] is best known for his purchase of exclusive seats at a local football stadium. Now, he will be known for another reason. Today, Special Agent In Charge Weysan Dun announced the surrender of Findel, the 44-year-old President and CEO of Worldwide Financial Resources, on a single charge of wire fraud. A criminal complaint filed today in Newark charges Findel, of Colts Neck, New Jersey, with submitting false documents to financial institutions in a mortgage reselling scheme. Findel’s actions caused those institutions to wire money to Findel’s company, Worldwide Financial Resources (herein referred to as “WFR”) located at 50 Route 9 North, Morganville, New Jersey. Originally started as a financial planning company, WFR had been expanded by Findel to include a variety of home mortgage services, to include mortgage origination and banking. This allowed WFR to both initiate and fun...
More About: Loans , Mortgage Fraud , Indictments , Lenders

One arrested, another wanted, in San Jose loan modification fraud allegatio
2009-09-08 19:48:00
In the following press release the Santa Clara County District Attorney’s Office announced that 39-year old Rene Alvarez of San Jose was arrested yesterday by investigators with the Santa Clara County District Attorney’s Office on charges that he defrauded hundreds of homeowners, whose homes were in foreclosure, in a wide-ranging loan modification scam. There is an outstanding arrest warrant on the same charges for his cohort, 34-year old Mariano Ortega of San Jose. Since mid-2008, Alvarez and Ortega have owned and operated M & R Contemporary Solutions, Inc. a Campbell foreclosure consulting firm. M & R recruited approximately 500 mainly Hispanic homeowners throughout California by pitching a “principal reduction” program. Homeowners were told that M & R would save their residences from foreclosure by facilitating the purchase of their existing lender’s loan by a third party at a discounted price. The homeowners were then to be offered a new...
More About: Arrested , Fraud , Loan , Wanted

Former Maryland mortgage broker pleads guilty to a mortgage fraud
2009-09-04 23:05:00
Rasheeda M. Canty, a former mortgage broker, pled guilty today to engaging in an extensive mortgage fraud scheme involving properties in the District of Columbia and Maryland , Acting U.S. Attorney Channing D. Phillips, Joseph Persichini, Jr., Assistant Director in Charge of the FBI’s Washington Field Office, and Daniel S. Cortez, Inspector in Charge, U.S. Postal Inspection Service, Washington Division, announced today. The FBI and Postal Inspection Service are the lead agencies in this matter, but they have been well assisted by numerous other federal and local agencies, including the Internal Revenue Service (IRS), Metropolitan Police Department (MPD), and the D.C. Department of Insurance, Securities and Banking._________________________________ _________________________________________ ________ Additional Materials Press Release Information _________________________________________ _________________________________________ Canty, 35, of Upper Marlboro, Maryland, entered her pl...
More About: Fraud , Mortgage Fraud , Mortgage , Indictments

Houston man indicted in $5 million mortgage fraud charges
2009-09-04 22:40:00
In the following FBI press release Tim Johnson United States Attorney for the Southern District of Texas and FBI Special Agent in Charge Richard C. Powers announced that a 16-count sealed Indictment [not yet available] charging Melvin Lendall Brown, the owner of Brownstone Construction, with wire fraud arising from an alleged multi-million dollar mortgage fraud scheme has been unsealed. Brown, 49, of Houston , was charged with 16 counts of wire fraud arising from a scheme to defraud residential mortgage lenders of approximately $5 million in loans in connection with home purchases in the Houston area. Brown surrendered to the FBI on Thursday morning and appeared before Magistrate Judge Calvin Botley yesterday afternoon. Brown has been ordered released upon posting 10 percent of a $100,000 bond into the registry of the court. Arraignment has been set for Sept. 11, 2009. According to the allegations in the indictment returned last week, over a one-year period beginning in June 2004, Br...
More About: Fraud , Mortgage Fraud , Mortgage , Indictments

Two charged in Colorado mortgage fraud allegations
2009-09-04 19:22:00
In the following press release it was announced that Cedric Lipsey, age 35, and Philip A. Martinez, age 34, both from Denver, Colorado , were indicted by a federal grand jury last week on charges of wire fraud as part of a mortgage fraud scheme, U.S. Attorney David Gaouette, FBI Special Agent in Charge James Davis, and IRS Criminal Investigation Special Agent in Charge Christopher M. Sigerson made the announcement.  Lipsey was arrested by federal agents without incident.  He appeared in U.S. District Court in Denver on August 31st, 2009 for an initial appearance, where he was advised of the charges pending against him.  He appeared in court again today, where U.S. District Court Magistrate Judge Kristen L. Mix authorized his release on a $50,000 property bond. According to the Indictment, beginning in April 2004, and continuing thereafter until about March 2006, in the District of Colorado and elsewhere, Cedric Lipsey, aided and abetted by defendant Philip A. Martinez,...
More About: Fraud , Mortgage Fraud , Mortgage

Saratoga Springs (NY) couple indicted in mortgage fraud allegations
2009-09-04 18:40:00
In the following press release Albany County District Attorney P. David Soares today announced that Nikole Sutliff, aka Nikole Riley, 32, and Stephen Sutliff, 37, both of Kirby Drive in Saratoga Springs, NY, were arraigned in Saratoga County Court this morning on a sealed indictment consisting of (9) counts of Grand Larceny in the Second Degree, a Class “C” Felony, and (1) count of Conspiracy in the Fourth Degree, a Class “E” Felony. DA Soares was appointed Special Prosecutor to the case at the request of Saratoga County District Attorney James Murphy. Additionally, the Office of the Albany County District Attorney filed a civil complaint against the couple to recover $2.3 million in forfeiture from proceeds obtained as a result of the illegal mortgage fraud schemes. DayPortPlayer.newPlayer({articleID:"5591" ,autoPlay:"false",slideShow:"false",playe rInstanceID:"EADDDD54-D6FD-9524-EDC0-EDA2 0C1936FF",domain:"wnyt.dayport.com"}); The indictment alleges ...
More About: New York , Fraud , Mortgage Fraud , Mortgage , Couple

Former Dallas Cowboys star Eugene Lockhart indicted in mortgage fraud alleg
2009-09-03 20:11:00
In the following press release James T. Jacks, United States Attorney for the Northern District of Texas annouced that a federal grand jury has indicted Eugene Lockhart, Jr., 48, a former player with the Dallas Cowboys , and eight others, on various charges related to a mortgage fraud scheme he and the others allegedly ran in the Dallas area from 2001 through 2005.  Lockhart, of Carrollton, Texas, and co-defendant Lendell Beacham, 50, of DeSoto, Texas, were arrested this morning by FBI agents, and will appear this afternoon at 1:00 p.m. before U.S. Magistrate Judge Jeff Kaplan for their initial appearance.______________________________ _________________________________________ ___________ Additional Materials Press Release Indictment [1.6mb] Wikipedia Profile Properties mentioned in the Indictment are:716 Mustang Ridge Drive, Murphy720 Mustang Ridge Drive, Murphy10114 Riverbend Drive, Rowlett3804 Nutwood Lane, Plano1405 Timarron Lane, McKinney1107 Deer Lake Drive1206 Qui...
More About: Fraud , Dallas Cowboys , Mortgage Fraud

9 indicted in Miami area mortgage fraud allegations
2009-09-03 20:10:00
In the following press release Jeffrey H. Sloman, Acting United States Attorney for the Southern District of Florida , Michael K. Fithen, Special Agent in Charge, U.S. Secret Service, and Robert Parker, Director, Miami -Dade Police Department, announced today the unsealing of an Indictment charging: Mike Ohana, 39, of Miami, FloridaMichael Ramos, 29, of Miami, FloridaRyan T. Dosen, 30, of Philadelphia, PennsylvaniaPaula Ramos, 52, of Miami, FloridaElba Emilia Perez, 43, of Lehigh Acres, FloridaFernando Soto, 37, of Miami, FloridaAntonio Abreu, 63, of Hialeah, FloridaYosvany Abreu Garcia, 34, of Fort Myers, FloridaErick Valdes, 35, of Miami, Florida[All are charged] with one count of conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1343, and four counts of substantive bank fraud, in violation of Title 18, United States Code, Section 1344.  Through this scheme, the defendants defrauded two financial institutions of over $3 milli...
More About: Fraud , Mortgage Fraud , Mortgage

PA attorney accused of theft of proceeds from sale of a home
2009-09-03 19:44:00
Pennsylvania Attorney General Tom Corbett announced that agents from the Attorney General’s Bureau of Criminal Investigation have filed charges against a former Harrisburg attorney accused of stealing thousands of dollars from the estates and accounts of senior citizens. Corbett identified the defendant as William Trickett Smith, (left) 72, 419 Susan Road, Harrisburg Corbett said that Smith allegedly diverted money from the sale of a 90-year old Harrisburg woman’s home.  The proceeds from that $80,000 sale were intended to support the woman’s medical care at a nursing home, but instead were allegedly used by Smith to pay his own personal expenses. Additionally, Smith is accused of using false information and untrue statements to sell $5,000 in stock to a 73-year old Harrisburg woman.  The stock was for a business created by Smith and Kindrachuk and marketed using exaggerated or untrue investment materials. Smith also allegedly withdrew approximately $12,...
More About: Mortgage Fraud , Home , Sale , Indictments

CT woman charged with quit claiming mothers house to herself
2009-09-03 15:59:00
  In the following press release the Connecticut Division of Criminal Justice announced that an Ansonia woman was arrested today for allegedly violating the fiduciary duties placed in her as attorney-in-fact for her 89-year old mother. Donna D. Kingston, age 61, of 6 Milan Street, Ansonia, was charged with three counts each of Larceny in the First Degree and Larceny in the Second Degree. According to the arrest warrant affidavit, Ms. Kingston was entrusted with joint signatory on her mother’s bank accounts. In May and July of 2007, the daughter allegedly withdrew more than $72,000 by closing a CD account and withdrawing funds from a bank account owned by her mother. Less than $4,500 was left in the bank account, the warrant states. In May 2008, acting as her mother’s attorney-in-fact but without the mother’s consent, Ms. Kingston quit-claimed full ownership of her mother’s Ansonia home to herself, according to the warrant. Although the deed allowed the m...
More About: House , Mortgage Fraud , Woman , Arrests

Michigan couple found guilty in mortgage fraud case
2009-09-02 20:45:00
In the following press release Donald A. Davis, United States Attorney for the Western District of Michigan announced that defendants Patricia L. VanderZwaag, 37, and Daniel Lee VanderZwaag, 36, of Holland, Michigan, were found guilty by a federal jury in Kalamazoo of one count each of mail fraud and wire fraud. Patricia L. VanderZwaag was also convicted on one count of financial institution fraud and one count of money laundering. The defendants are the owners of Mad Jac Corporation, also known as B & J Towing. They provided false documentation and information to mortgage companies to obtain loan proceeds.[Editor note - they obtained two first liens on the same property - see below]. Defendant Patricia VanderZwaag also used false information and documentation, including the Social Security Number of another person, to obtain a mortgage loan from National City Bank. She then transferred $16,000 of one of the mortgage company loans to another bank to launder the funds.___________...
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Four indictted in Mass mortgage fraud scheme allegations
2009-09-02 19:23:00
In the following press release Michael K. Loucks, Acting United States for the District of Massachusetts announced that four Massachusetts residents were charged with fraud yesterday by a federal Grand Jury in connection with a scheme to obtain real estate properties and mortgages on those properties under false pretenses. The US Attorney was joined by Steven D. Ricciardi, Special Agent in Charge of U.S. Secret Service in the announcement that Steven Soto, age 24, currently in federal custody awaiting trial on unrelated federal fraud [ID Theft/Motor Vehicle] charges, Pedro Soto, age 44, of Springfield, MA, Carmen Soto, age 44, of Springfield, MA, and Kimberly Litwin, age 52, of Lynn, MA, were charged in a thirteen-count Indictment with mail fraud and aggravated identity theft.___________________________________ _________________________________________ _____ Additional Materials Press Release Indictment _________________________________________ _______________________________________.. .
More About: Fraud , Mortgage Fraud , Mortgage , Indictments

Two Bronx men indicted - accused of selling real estate they did not own
2009-09-01 20:10:00
In the following press release Bronx District Attorney Robert T. Johnson announced today that two Bronx men have been charged with bilking three people out of more than one point three million dollars ($1,300,000) in an alleged scam involving the sale of property that the defendants did not own and were not authorized to sell. [Indictment] It is alleged that the victims were led to believe that they were purchasing property that had been owned by the City of New York because the previous owners had either failed to pay taxes or correct numerous building code violations. Mario Tolisano, 59, of 1669 Astor Avenue, and Celestino Orta, 40, of 588 Timpson Street, have been charged with 1 count of Grand Larceny in the 1st degree, 3 counts of Grand Larceny in the 2nd degree, 1 count of Criminal Possession of Stolen Property in the 1st degree and 3 counts of Criminal Possession of Stolen Property in the 2nd degree. Tolisano also was charged with 7 additional counts of Practicing or Appearin...
More About: Selling , Estate , Real Estate , Mortgage Fraud , Indictments

Three indicted in Houston mortgage fraud allegations - one of them now on w
2009-09-01 18:44:00
Court records and the Secret Service website reveal that on March 4, 2009 Edward Lee Waddell (see below), Alfred Warren and Gerald L. Jones were indicted in an alleged Houston area mortgage fraud that caused $1 million in losses to lenders. The indictment states that Waddell, Warren and Jones conspired with Revis Otto Willis and Dedrick Johnson and others to recruit straw borrowers to purchase properties with mortgages that were greater than the true value of the properties. The defendants were paid kickbacks by the sellers and the kickbacks represented the difference between the true purchase price and the inflated valuations and sales prices given to the properties. The mortgage applications submitted for the straw borrowers contained false information concerning income, intent to occupy and bank account information. In addition they are accused of arranging false appraisals, false CPA letters and preparing false HUD-1 statements which contained misleading entries about the true d...
More About: Fraud , Mortgage Fraud , Mortgage