Former Bank Employee Pleads Guilty in Mortgage Fraud Scheme

Allison Tussey —  September 28, 2009 — 1 Comment

Jamilah Al-Bari, 37, District Heights, Maryland, pleaded guilty to mail fraud arising from the fraudulent purchase of properties in Maryland, the District of Columbia and Virginia.

According to her plea agreement, Jamilah Al-Bari participated in a scheme with her brother, Osman Sharrief Al-Bari and others to pay straw purchasers to purchase houses for them using false loan documents. Jamilah Al-Bari abused her position as a business banking liaison at M&T Bank in Upper Marlboro, Maryland and created false documents purporting to verify assets for the straw buyers. She also sent false verification letters concerning the buyers’ income and assets on M&T Bank letterhead to banks and mortgage lenders to facilitate the fraud scheme. Jamilah Al-Bari created a fictitious M&T Bank employee and used the fictitious employee’s name to sign some of the false verification letters.

Jamilah Al-Bari prepared false M&T Bank verification forms for straw buyers who purchased five properties in Baltimore, Maryland and two properties in Spotsylvania, Virginia. Most of the purchased properties have now gone into foreclosure. Jamilah Al-Bari received a check or cash payment, disguised as a “consulting fee,” for her role in the fraud scheme. She admitted her involvement in the scheme to M&T Bank investigators who questioned her before her termination.

Although this scheme involved fraudulent loans worth over $19,021,366, the loss amount foreseeable to Jamilah Al-Bari was between $400,000 and $1 million.

Al-Barifaces a maximum sentence of 30 years in prison. U.S. District Judge J. Frederick Motz has scheduled sentencing for November 13, 2009 at 2:15 p.m.

Osman Sharrief Al-Bari, 35, Washington, D.C., an organizer and leader of the scheme, pleaded guilty on August 10, 2009 to mail fraud and is scheduled to be sentenced on October 5, 2009 at 9:00 a.m. Timothy Reed, 44, Beltsville, Maryland; Terrence White, 36, Oxon Hill, Maryland; Sabrina Weinberg, 44, and Kara McIntosh, 47, both of Bethesda, Maryland; have all pleaded guilty to mail fraud in connection with their participation in this scheme and are scheduled to be sentenced in the next two months.

United States Attorney for the District of Maryland Rod J. Rosenstein announced the guilty plea.

United States Attorney Rod J. Rosenstein thanked the U.S. Postal Inspection Service, the Federal Bureau of Investigation, the Montgomery County State’s Attorney’s Office – Economic Crimes Unit and the U.S. Secret Service for their investigative work and assistance. Mr. Rosenstein commended Assistant United States Attorney Kwame J. Manley, who is prosecuting the case.

 

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One response to Former Bank Employee Pleads Guilty in Mortgage Fraud Scheme

  1. Disgusting.. Can’t even trust the bank employee to do a verification of deposit.

    As an underwriter, I even found bank statements with imposed names and addresses, i.e. not the borrowers. Caught when I saw an automatic mortgage loan payment coming out and borrower didn’t have a mortgage at the time. Called their “bank”, different name!! You would think they would have chosen more wisely!!!!

    There is never a perfect crime!!!

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