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...
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...
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...
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...
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,...
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({articl-eID:"5591",autoPlay:"false",sli-deShow:"false",playerInstanceID-:"EADDDD54-D6FD-9524-EDC0-EDA20-C1936FF",domain:"wnyt.dayport.c-om"}); The indictment alleges ...
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...
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...
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,...
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...
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.___________...
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 _______________________________-_______________________________-__________________...
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...
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...
SEC Alleges Mortgage Fraud
2009-07-30 16:33:00 The SEC sued four individuals for alleged fraud in connection with raising over $197 million from at least 900 investors nationwide in connection with a Phoenix-based commercial real-estate venture.
Mortgage Fraud Modification For Dummies
2009-02-25 07:01:00 During the housing bubble years mortgage fraud became the white collar crime of our time. The FBI issued report after report about its epidemic growth as did other entities, both public and private, that track financial crime trends. Yet mainstream news coverage was spotty. Some strong stories did appear but overall the topic was buried ...
Seniors beware of reverse mortgage fraud
2008-10-07 17:00:00 Mortgage fraud has been an underlying cause of many good deals gone badly, and reverse mortgage fraud is no better.
Seniors beware of reverse mortgage fraud
2008-10-07 17:00:00 Mortgage fraud has been an underlying cause of many good deals gone badly, and reverse mortgage fraud is no better.
FBI taking control over mortgage fraud offenders
2008-06-23 17:00:00 If the housing market is still full of excess inventory and the number of foreclosures is still rising, then why are the mortgage interest rates rising too? How are buyers supposed to relieve the surplus of homes when the interest rates are so discouraging?
FBI taking control over mortgage fraud offenders
2008-06-23 17:00:00 If the housing market is still full of excess inventory and the number of foreclosures is still rising, then why are the mortgage interest rates rising too? How are buyers supposed to relieve the surplus of homes when the interest rates are so discouraging?
Hillary?s White Wedding/Mortgage Fraud Rescue Wrap/Why Are We in Iraq
2008-06-08 03:38:00 Spring segued into Summer with Hillary Clinton’s white wedding. The hot wack was on as Milady Hill rolled in Joe Sixpack’s arms moaning how Joe wouldn’t go for O. The real wild thing? Mrs. Joe wasn’t jealous. She didn’t dis Hill like Hill’s pals did Bill’s gals. Trailer trash no sirree. Hillary, who served copious ...
Mortgage fraud possibly helped inflate prices during housing boom
2008-06-03 17:00:00 As one of the hardest hit areas of the housing and mortgage slump, Las Vegas is the region?s ?mortgage fraud ground zero,? according to Scott Hunter, the FBI?s special agent in Nevada.
Morgan Guarantee Ends Mortgage Insurance For Condos in Florida
2008-05-26 15:09:00 The largest mortgage reinsurance company, Mortgage Guaranty Insurance Corp., has decided to stop providing private mortgage insurance to condo owners in Florida starting June 1st. While others will continue to provide the service this is still fairly big news. The company lost 1.4 billion in the 4th quarter last year and is trying to get ...
Chase Wholesale No Longer Offering Subprime and Home Equity
2008-05-15 22:34:00 As we continue to analyze and manage our product set, Chase has made the decision to discontinue offering our Subprime and Home Equity products through our Wholesale channel. New Wholesale Subprime and Home Equity registrations will not be accepted after Friday, May 16, 2008. No Tags
Jon Goodman- slow market conditions heat up mortgage fraud cases
2008-05-14 23:48:00 BrokerIPTV: Today we are talking with John Goodman, real estate attorney. We appreciate you being here Jon Goodman: Thanks for having me. BrokerIPTV: One of the things I got to thinking about with current market conditions are you busier or...
Pensacola Real Estate News: Mortgage Fraud on the Rise
2008-05-14 19:19:00 In recent days, reports have been coming out that indicate the FBI has increased their real estate mortgage fraud caseload. That is not a big surprise, as a down real estate market provides an ideal climate for mortgage fraud perpetrators. Examples of real estate mortgage fraud include builder bailouts, seller assistance, foreclosure rescue and identity theft in exploiting ...
MORTGAGE FRAUD: New Analysis of a Rising Threat, The FBI Reports
2008-05-14 00:00:00 Mortgage fraud is clearly on the rise. Although there is no central way to track the total extent of the problem, we received 46,717 Suspicious Activity Reports related to mortgage fraud last year--compared to 35,617 in 2006 and just 6,936 in 2003. Only seven percent of these reports documented an exact dollar amount in terms of losses, but even so, the total loss from this seven percent was $813 million.
HSBC $4.6 Billion Writedown
2008-05-13 19:32:00 http://www.bloomberg.com/apps/n-ews?pid=20601087&sid=aR0DO3lgYJ-uw&refer=home That would make it $15 billion on the year and $27 billion over a two year period. All I can say is WOW...
By: Executive Fraud
The Late Great Housing Bubble - just one big orgy of mortgage fraud, and a
2008-05-10 23:32:00 Silly Americans - you thought those skyrocketing housing prices were because "they're not making any more land", or because of "year-round-golf and pro athletes".Nope. It was just one big orgy of fraud. And you fell for it.Silly Americans.Here's just a sampling of headlines today over at the mortage fraud blog. Just a sampling.Florida woman sentenced in fraud schemeFlorida mortgage fraud laws passedValley (CA) man indicted in HELOC fraud allegationConcord (CA) lender indictedTampa man provided false employment referencesCalifornia man given 16 months in deed fraudThree Ohio men indicted in Kentucky fraud caseMan indicted in Ohio apartment fraud chargesTwo plead guilty in Pittsburg area mortgage fraudTexas realtor sentenced to 18 months New Jersey man pleads guilty to mortgage fraud 5 sentenced in Georgia mortgage fraud schemeTwo plead guilty in $35 million fraud in Minnesota
By: Housing PANIC
Warren Buffett on Subprime Mortgage Crisis
2008-05-06 22:36:00 http://network.nationalpost.com-/np/blogs/tradingdesk/archive/2-008/05/06/dumb-subprime-lenders--and-investors-should-not-get-h-elp-warren-buffett.aspx ?Capitalism without failure is like Christianity without hell,? Mr. Buffett said. He added that ?lenders and investors who were dumb enough to deal in subprime mortgages should not receive any special help,? but if homeowners were deceived about the terms of an adjustable mortgage, they should be helped. I completely agree, but I'm still curious what happened with his plan to start a financial guarantor company. Originally when AMBAC and MBIA were taking heat for their subprime exposure and writedowns there was talk of Buffett bailing one out or starting his own under the Berkshire Hathaway name. Guess we will have to wait and see.
By: Executive Fraud
on Goodman- slow market conditions heat up mortgage fraud cases
2008-05-06 21:39:00 BrokerIPTV: Today we are talking with John Goodman, real estate attorney. We appreciate you being here Jon Goodman: Thanks for having me. BrokerIPTV: One of the things I got to thinking about with current market conditions are you busier or...
Mortgage Fraud-Number One Investigation For Real Estate Commission's Marcia
2008-05-06 21:31:00 Mortgage Fraud-Number One Investigation For Real Estate Commission's Marcia Waters, DORA which is the Department Of Regulatory Agency for Real Estate. BrokerIPTV: Today we are talking with Marcia Waters, Investigations and Compliance director with the Division of Real Estate for...
Creating a Mortgage Fraud Law with Some Bite - A Thought Experiment
2008-05-04 17:19:00 I was just reading an article about how Mortgage Fraud is now a specific crime in Missouri, but couldn’t help but think to myself whether or not this law goes far enough. While I haven’t read the law itself, a $2,500 fine and/or jail is just not going to cut it. The loans must still be written off by the lenders, and of course, what happens is the banks eat up the cost, and the general public funds the bailout. We’ve been bailing out banks due to the housing bubble for months now, and funding the crimes of those people who engaged in mortgage fraud and who in the end, couldn’t afford, or simply didn’t want to pay their mortgage anymore. I was thinking about all of this and came up with an innovative idea that would likely stop 90% of future mortgage fraud. Is it something that would ever go into law — not a chance — but if it did, it could change the fate of lenders and could prevent the average citizen from having to pay for the stupi...
What Consumers Do Not Know About Their Mortgages
2008-05-03 15:32:00 While we in the real estate blogosphere try to figure out why the mortgage crisis is not resolving itself, the reason might be staring us in the face. The consumer never learned the rules of the game. Real estate agents and mortgage brokers got so caught up in the frenzy of selling and doing deals ...
Mortgage Fraud Now A Specific Crime in Missouri
2008-05-03 15:21:00 Mortgage fraud was rampant in the beginning of the century, that is very obvious to anyone who has watched the real estate market recently. That is why the new legislation coming out of Missouri is good to see. Missouri is going to make the crime of mortgage fraud it’s own category of law with enforcement and very specific ...
FDIC on Subprime Mortgage Crisis
2008-05-01 13:22:00 http://www.bloomberg.com/apps/n-ews?pid=20601087&sid=ano45SuVp_-3w&refer=home Some view the moves by the Bush Administration to increase the limits of guarantees by the Federal Housing Administration as not enough. Sheila Blair from the Federal Deposit Insurance Corp. (FDIC) suggests that: Congress should initiate a publicly funded loan program under which the Treasury Department would make loans to borrowers with unaffordable mortgages to pay down as much as 20 percent of their principal. Although I feel for those who legitimately were fooled by their mortgage terms, I do not believe that a bailout should be available to all subprime borrowers with high loan values and falling home prices. I would be interested in the stipulations included in the proposed subprime bailout.
Two men plead guilty in mortgage fraud case
2008-04-29 06:27:00 In the following press release United States Attorney for the District of Maryland Rod J. Rosenstein announced that Kolawole Aminu, age 45, a Nigerian national, pleaded guilty today to conspiring to make a false statement in connection with a scheme to defraud a mortgage lender. Oyekunle Ikudayisi, age 39, of White Plains, Maryland, pleaded guilty to the same charge on April 23, 2008. According to their plea agreements, Aminu and Ikudayisi conspired with others to purchase properties from a company owned by a co-conspirator. Aminu and Ikudayisi obtained mortgage loans for the properties in their own names, using their good credit histories. The co-conspirator, however, was responsible for making all payments associated with the purchase of the properties, including the down payments, closing costs and mortgage payments. Aminu and Ikudayisi made false statements on loan applications as to their incomes and intent to make the properties their primary residences, and signed settlemen...
Concord (CA) woman charges with mortgage fraud
2008-04-29 04:27:00 In the following press release United States Attorney Joseph P. Russoniello announced that Cheryl Hernandez Camus of Concord, California made her initial appearance in federal court in San Francisco on April 22, 2008 before United States Magistrate Judge James Larson. A federal grand jury in San Francisco had previously indicted Ms. Camus on April 8, 2008 on charges of mail and wire fraud in connection with a Ponzi scheme. Ms. Camus is scheduled for her next appearance in federal court in San Francisco on April 29, 2008 before United States Magistrate Judge James Larson and on May 5, 2008 before United States District Judge Marilyn Hall Patel. According to the indictment, Ms. Camus, 36, is alleged to have made a number of misrepresentations about a money lending investment, where she promised fixed returns and the return of the principle investment within a fixed period of time. The indictment alleges that Ms. Camus made one or more of the following material false representations ...
Three Ohio men indicted in mortgage fraud
2008-04-28 06:20:00 In the following press release James A. Zerhusen, Acting United States Attorney for the Eastern District of Kentucky announced that three Ohio residents were indicted today for conspiracy to commit wire fraud. The indictment alleges that William R. Bowling Jr., 46, of Cincinnati, Georgia Bowling, 64, of Franklin, and Gregg E. Russell, 54, of Middletown devised a complicated scheme to defraud Countrywide Home Loans. The Indictment alleges that William Bowling Jr., the buyer/borrower, purchased 24 investment properties in Kettering, Ohio and that the paperwork submitted to the lender, Countrywide Home Loans, represented that the down-payment was coming from Bowling Jr. The 24 purchases each originated and were processed through Countrywide Home Loan’s office in Ft. Mitchell, Ky. The Indictment also alleges that Georgia Bowling, who acted as the real estate agent for Bowling Jr., caused for false representations regarding alleged repair-work to be made on the loan documents t...
Tampa man guilty in mortgage fraud case
2008-04-28 05:56:00 In the following press release United States Attorney Robert E. O’Neill announced that LUIS URIBE, a 28 year old resident of Tampa, pleaded guilty to one count of wire fraud and one count of aggravated identity theft. The maximum penalty URIBE faces is thirty years’ imprisonment and a $1million fine. According to the plea agreement, from July 2006 through September 2007, URIBE committed wire fraud and aggravated identity theft. URIBE was a licensed mortgage broker in Florida and was able to originate mortgage loans. URIBE and others fraudulently submitted mortgage applications under false pretenses, obtaining and disbursing the proceeds of those loans, including directing portions of the proceeds to bank accounts in their control. URIBE was one of the principals behind Bay General Contracting Services, LLC (herein after “Bay General”). Bay General was not a licensed contracting service in the State of Florida. On at least twenty separate real estate closi...
Credit Suisse Foreclosure Estimate - 6.5 M Loans by 2012
2008-04-26 18:51:00 http://www.reuters.com/article/-bondsNews/idUSN2233380820080422- Falling home prices have made an increasing number of U.S. homeowners more vulnerable to default, they said. Nearly a third of subprime borrowers owed more than their home was worth at the end of last year, and that figure will double to 63 percent in 2009 It is interesting that borrowers facing these circumstances tend to walk away from their homes while continuing to make their credit card payments. Although falling home prices is one factor in this problem, many people forget most of these subprime loans were option ARMs. Most of the option ARM loans had low teaser rates that led not only to payment shock at the reset date but also allowed borrowers to defer payments that were added to the principle of the loan (negative amortization). The gamble made by most borrowers was that home prices would continue to increase by the same amount (or hopefully more) then the increasing principle of the loan. Since home price...
By: Executive Fraud
SEC's Involvement with Bear Stearns
2008-04-24 18:12:00 http://burnickblog.sovereignsoc-iety.com/2008/04/is-wall-street-s.html Here's another perspective on the Bear Stearns issue with the SEC. The primary focus on this is how the SEC had acknowledged Bear Stearns shady pricing methods for their CDOs but did nothing to stop them until the bail out. On a personal note, I have large issue with the concept of a tax payer bail out. Whether the government admits it or not, when the Federal Reserve backs these deals it is you and me that foot the bill if things go sour. We as taxpayers should not have to pay for their indiscretions that made them a fortune over the boom of subprime lending but has now led to their demise.
Bear Stearns Executive Ralph Cioffi Investigation
2008-04-24 18:02:00 http://www.businessweek.com/mag-azine/content/08_18/b4082026894-702.htm?chan=top+news_top+news+-index_businessweek+exclusives I found this article interesting in that it points out how difficult it will be to get these executives for fraud without an email basically saying that they willfully provided valuations despite having knowledge that they were incorrect. What the article does not address is whether the action would fall under Sarbanes Oxley which would provide prosecutors with another means of pursuing these executives in court.
Mortgage Fraud Report: FICEN releases Updated Report
2008-04-24 00:00:00 The Financial Crimes Enforcement Network (FinCEN) today released an update to its November 2006 mortgage loan fraud assessment, which is based upon analysis of suspicious activity reports (SARs) provided by the financial industry. The previous study examined a statistical sample of SARs reporting mortgage fraud filed between April 1996 and March 2006. This updated study continues the analysis for reports filed through March 2007.
Navigant Consulting Q1 Subprime Update - 448 Subprime Cases Filed
2008-04-23 18:32:00 http://www.navigantconsulting.c-om Navigant Consulting released today that in the first quarter of 2008 there were 170 cases filed. Of the 170 cases filed, borrower class actions and securities cases dominated the subprime filings with 79 and 44 cases respectively. Based on the explosion of federal subprime filings, Navigant expects that the total case filing "will soon surpass the 559 savings-and-loan cases of the early 1990s." For more information check out Navigant Consultings website.
Fannie Mae, Freddie Mac Spanked For New Accounting Problems
2008-04-23 13:47:00 Is this any surprise, both Freddie Mac and Fannie Mae are now being told to moderate their aggressive accounting methods and be more prudent on the numbers they are reporting. The issue is a bit esoteric but coming after the accounting scandals that enveloped the agencies in the past year, any hint of impropriety should ...
FBI investigates more mortgage fraud cases
2008-04-17 17:00:00 Three months ago FBI officials said they were investigating 14 companies for possible fraud in connection with loans made to risky borrowers. They were also investigating insider trading violations and investments spun off of the risky loans.
Lehman Brothers Executive Claims Tension in Credit Markets Beginning to Let
2008-04-17 13:22:00 http://www.forbes.com/facesinth-enews/2008/04/16/rishard-fuld-l-ehman-markets-face-cx_md_0415au-tofacescan03.html I'd be optimistic too if I made $51.7 million during 2007.
By: Executive Fraud
Mortgage Fraud in 2007 up by 42%
2008-04-16 21:07:00 Last year, there was a 42 percent increase in mortgage frauds reported by banks. The said frauds were discovered when banks decided to become cautious in approving mortgage applications. In 2006, there was a recorded 37,313 mortgage fraud reports.
Mortgage Fraud Lands 30 Month Prison Sentence
2008-04-09 18:38:00 From the Oregonian:U.S. District Judge Michael Mosman today sentenced a Portland man to 30 months in prison for his role in a mortgage fraud scheme.According to a news release from the office of United States Attorney Karin J. Immergut, the scheme involved two residential real estate transactions in 2004.Ryan Bonneau, 31, also will serve five years of supervised release after his prison term. Bonneau pled guilty to wire fraud and money laundering in November, 2007.The news release said that Bonneau admitted that he, along with two others, devised a scheme to defraud the Union Federal Bank of Indianapolis by making false statements in mortgage loan applications in connection with transactions involving the two properties.In each transaction, the sales price of the home was inflated so that the Bonneau could apply for a larger mortgage and divert the extra cash to bank accounts he controlled. Bonneau also admitted submitting a false appraisal on each property.Bonneau became involved i... |
|
 |
|
 |
