Mortgage Fraud Blog is the premier website for news and information on mortgage fraud and real estate fraud throughout the United States.
Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified Mortgage Banker who handles litigation for lending institutions and secondary market investors. She is an author and a nationally recognized speaker on the topic of mortgage fraud. Ms. Dollar is a shareholder with the law firm of Smith Dollar, PC, is licensed to practice law in California and maintains offices in Santa Rosa, California. Email Ms. Dollar
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Criminal Action by Georgia Dept of Banking Results in Guilty Plea
Kawana Latrell Melvin entered a first offender plea on October 19, 2009, in the Superior Court of Clayton County to felony charges that she unlawfully transacted mortgage business without a license, registration or under an applicable exemption; and made a false statement with respect to her eligibility to work in the Georgia residential...
Edward William Farley, 47, Hoschton, Georgia, has pleaded guilty in federal district court to committing mortgage fraud, bankruptcy fraud, operating a real estate investment "Ponzi" scam involving over 150 victims, and a check-kiting scheme.
Farley was charged in a criminal Information on October 15, 2009 with bank fraud and conspiracy, which...
Maryland Woman Pleads Guilty to Mortgage Fraud Scheme in D.C. and Maryland
Rasheeda M. Canty, 35, Upper Marlboro, Maryland, a former mortgage broker, pled guilty in September 2009 to engaging in an extensive mortgage fraud scheme involving properties in the District of Columbia and Maryland.
During the plea hearing, Canty admitted that the intended loss to victims of the scheme was over $1,000,000. Canty agreed to a...
Tahmeane Elrod, 47, Tyler, Texas, has pleaded guilty to mortgage related fraud in the Eastern District of Texas. A federal grand jury returned an indictment on May 6, 2009, charging Elrod with conspiracy to commit wire fraud.
According to information presented in court, in September 2007, Elrod devised a scheme to defraud mortgage financing...
Mortgage Fraud Results in Charges for West Michigan Woman
Maria Antonia Franks Hernandez, Wyoming, Michigan, has been accused of defrauding the Michigan State Housing Development Authority (MSHDA) by fraudulently obtaining a mortgage, defaulting on that mortgage and leaving taxpayers to pick up the tab.
Franks Hernandez is accused of stealing her sister's identity between December 2003 and February...
A nine-month-long Mortgage Fraud Surge investigation in Florida has resulted in charges against more than 100 defendants and involves allegations concerning more than $400 million in loans procured by fraud and more than 700 properties. United States Attorney A. Brian Albritton is holding events throughout the middle district of Florida to...
Kosta Kovachev, 58, formerly a registered broker with the National Association of Securities Dealers, pleaded guilty this morning to one count of conspiracy to commit securities and wire fraud and one count of wire fraud stemming from his participation with Marc Dreier in the sale of over $100 million dollars in fictitious promissory notes to...
Real Estate Fund Manager Charged With Defrauding Investors
Sheila Lea Jones, owner of Vitruvian Investment Group, is facing allegations that she solicited investors to pool their money for investment into a real estate fund managed by Jones. The Idaho Department of Finance has filed a complaint in Ada County District Court against Jones. The fund purportedly invested in short-term construction and...
Ringleader of Mortgage Fraud Scheme Sentenced to 30 Years
Uto Essien, 45, the ringleader of a Colorado based multimillion-dollar mortgage fraud operation, was sentenced by an Adams County judge to 30 years in the Colorado Department of Corrections. Essien, a Nigerian national, will be deported upon completion of his sentence.
As previously reported by Mortgage Fraud Blog, an Adams County jury convicted...
Department of Finance Orders Meridian Mortgage Loan Modification Company to Cease & Desist
International Co-op LLC, Meridian, Idaho, has been ordered by the Idaho Department of Finance to cease and desist unlicensed mortgage loan modification activities and illegally charging distressed Idaho homeowners exorbitant upfront fees.
Department of finance director, Gavin Gee, said that the department received complaints from three Idaho...
Mortgage Broker Pleads Guilty To Falsifying Documents
Michael Chou, San Francisco, California, pleaded guilty in federal court to wire fraud conspiracy for his role in a mortgage fraud scheme spanning 6 years.
In pleading guilty, Chou admitted that, in a scheme that began in 2003 and continued until approximately April 30, 2009, he defrauded mortgage lenders and financial institutions by providing...
Couple Convicted of Loan Fraud Scheme Involving Over $1.5 Million in Losses
Ed Johnson, 60, and G. Carol Johnson, 67, Wilmington, Delaware, were both found guilty by a federal jury of one count of conspiracy to commit mail and wire fraud, 10 counts of mail and wire fraud and one count of engaging in an illegal monetary transaction. Johnson was also convicted individually of one additional mail and wire fraud count. The...
Terrence White, 35, Oxon Hill, Maryland, has been sentenced to 42 months in prison, followed by three years of supervised release for mail fraud arising from the fraudulent purchase of 25 properties in Maryland, the District of Columbia and Virginia using false mortgage and settlement documents. U.S. District Judge J. Frederick Motz also entered...
Jury Convicts Deed Forger in Real Estate Fraud Case
Oralia Hidalgo, 46, Colton, California, was found guilty by a jury of 9 felony counts ranging from forgery, grand theft, filing of false instruments, and a grand theft enhancement.
In July 2003, Hidalgo forged the victim's name on a Grant Deed illegally taking title to a residence in Colton, California. She encumbered the property by taking a...
U.S. Attorney Targets White-Collar Crime Wall Street Journal
In San Francisco, Mr. Russoniello said he is trying to crack down on cases like mortgage fraud, though he doesn't have the budget to hire additional white-collar prosecutors.
Arrests Made in Orlando Mortgage Fraud Roundup MyFoxOrlando.com
During the real estate boom two years ago, some units were going for a half million dollars. Now some are short selling for just 50 grand.
10 Accused of Mortgage Fraud at PR Coastal Resort Forbes
A developer and nine other people, including a former salsa singer, have been charged in an alleged $14 million mortgage fraud in Puerto Rico...
Strodtman Jury Selected in Mortgage Fraud Trial Greeley Tribune
Attorneys will deliver opening statements this morning in the trial of Mark Strodtman, who is accused of bilking homeowners in a mortgage scheme years ago.
FHA Digging Out After Loans Sour Wall Street Journal
Most banks rejected Ms. DeForte because her debt level was too high and her credit score too low. But Lend America put Ms. DeForte into a $402,000 loan backed by the Federal Housing Administration...
Mortgage Fraud Probe Nets 105 Across State Bradenton Herald
At least one local man is among 105 people arrested across the state following a nine-month investigation into organized mortgage fraud.
Mortgage Fraud Increases MortgageRates.co.nz
The number of frauds involving professional advisors, such as accountants and lawyers, has increased from two to four since March 2008.
Trial coverage provided by Anne Mitchell, Crazy Fish Realty.
F. Jeffrey Miller Update - October 20, 2009
A hearing was held in Topeka, Kansas in front of Judge Julie Robinson. Miller is currently being held pending his sentencing which is set for December 22nd, 2009 at 9:00 a.m.. Steve Vanatta and Hallie Irvin, Miller's codefendants, will be sentenced at that time also.
Several motions were heard this week. One was a motion for Miller to be released pending his sentencing. Miller's attorney, Jeff Morris, argued that the court had dismmissed with predjudice the matter involving Miller's purchase of a commercial lawnmower, violating the court ordered monitoring agreement. He also argued that Miller was not a flight risk and should be released. This motion was denied.
Another motion heard by Judge Robinson was that of an escrow account containing proceeds from the sale of Miller's forfeited assets. This account has a balance of $143,000. Attorney Morris argued that his firm was due $100,000 for work done in the Miller matter, to date. The government argued that his 'un-itemized fees' were 'exhorbitant'. The balance of the funds, Morris argued, should be released to the Miller family to help pay for mounting household expenses.
The government argued that the 'Asset Forfeiture Provision' applies down to 'the last penny' and that 'the rights of the victims to made whole are of paramount immportance' and that no routine household expenses like Visa bills, are allowed.
Attorney Morris argues that there is more than enough assets to satisfy the jury's judgement of $2.65 million dollars. The government argues that the estimated value of his assets are only $1.4 million.
The government also stated that Miller has been paid dividends from a company Miller has an ownership interest in; Boreflex. From July, 2008 to present, Miller has been paid $330,509.30 from Boreflex, unbeknownst to the court appointed monitor.
Present in the courtroom was Todd Earnshaw. Earnshaw was indicted along with Miller and others in what is commonly referred to as 'Miller I'. That trial is scheduled to begin on January 11, 2010 in Topeka, Kansas.
Legal Disclaimer.
The information and notices contained on Mortgage Fraud Blog are intended to summarize recent developments in mortgage fraud cases and mortgage banking matters nationwide. The posts on this site are presented as general research and information and are expressly not intended, and should not be regarded, as legal advice. Much of the information on this site concerns allegations made in civil lawsuits and in criminal indictments. All persons are presumed innocent until convicted of a crime. Readers who have particular questions about mortgage banking, mortgage fraud matters or who believe they require legal counsel should seek the advice of an attorney. The creators, editors and sponsors of Mortgage Fraud Blog do not intend to create a confidential relationship or an attorney-client relationship by communication via or arising from this site.
Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified Mortgage Banker who handles litigation for lending institutions and secondary market investors. She is an author and a nationally recognized speaker on the topic of mortgage fraud. Ms. Dollar is a shareholder with the law firm of 
