Lawrence Randall Benham, 41, Houston, Texas was indicted in connection with his alleged role in a multi-million dollar mortgage fraud scheme allegedly executed in the Houston area of Texas since 2002.

Benham was charged with five (5) counts of wire fraud, two (2) counts of mail fraud, and one count each of bank fraud, and making a monetary transaction with criminally derived property. Wire fraud, mail fraud, or bank fraud, carries a maximum sentence of 30 years in federal prison upon conviction. The monetary transaction charge carries a maximum 10-year prison term upon conviction. Additionally, substantial fines and restitution to victims can be ordered as part of any sentence imposed following conviction.

The indictment alleges Benham devised a mortgage fraud scheme in which he located residential properties for sale, and persuaded and used others as nominee purchasers of the properties for his benefit. Using the nominee borrower's credit and identifying information on loan applications, Benham is alleged to have exaggerated the nominee's financial resources and ability to repay the loans, and arranged for the nominee borrowers to purchase the properties at prices far in excess of their true value. According to allegations in the indictment, Benham then directed large sums of money from the closing on the residential properties be paid to himself or accounts controlled by him. The indictment alleges that the five (5) loans obtained in this manner between July 2003 and April 2005 amounted to about $1.5 million. Benham is also accused of two counts of mail fraud arising from the mortgage loan scheme.

The one count of bank fraud accuses Benham of defrauding a Houston area bank by allegedly forging the signature of a payee on a $58,504 check and retaining the proceeds for himself. Lastly, Benham is accused of transferring approximately $25,000 of proceeds allegedly derived from his mortgage fraud scheme to a local Land Rover dealership.