2 Convicted of Loan Application Misrepresentations

Allison Tussey —  September 3, 2009 — 2 Comments

Patricia L. VanderZwaag, 37, and Daniel Lee VanderZwaag, 36, Holland, Michigan, were found guilty by a federal jury in Kalamazoo, Michigan, 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. 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.

Patricia VanderZwaag faces a maximum penalty of 30 years’ imprisonment and a fine of $1,000,000. Daniel Lee VanderZwaag faces a maximum penalty of 20 years’ imprisonment and a fine of $1,000,000. Immediately after the return of the guilty verdicts, the Hon. Paul L. Maloney, Chief U.S. District Court Judge, remanded both Vanderzwaags to the custody of the U.S. Marshal until sentencing. A date for the sentencing hearing has not yet been set.

U.S. Attorney Donald A. Davis announced the conviction. 

U.S. Attorney Davis commended the Federal Bureau of Investigation for its work in the case. This case was prosecuted by Assistant U.S. Attorney Timothy P. VerHey.

 

Be Sociable, Share!

2 responses to 2 Convicted of Loan Application Misrepresentations

  1. Keep up the good work.

  2. While their deceit was intentional, it needs to be understood that completing that loan application must be accurate, or you are committing misrepresentation aka fraud.

    There are still exaggerations, and it needs to stop if this industry is to recover.

    When an underwriter says jump, they mean it.

Leave a Reply

*

Text formatting is available via select HTML.

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>