Ronald A. Waker, 42, Centerville, Ohio plead guilty to money laundering in connection with a mortgage fraud scheme that involved approximately 148 mortgage loans totaling over $9M on properties located in Ohio and elsewhere.
'Waker took part in approximately 148 separate fraudulent real estate closings between July 1999 and December 2001,' United States Attorney for the Southern District of Ohio Gregory G. Lockhart said. 'Such actions eat away at the foundation of our community’s housing market and the neighborhoods involved.' Lockhart noted that the gross fraudulent loan amounts associated with these closings amounted to approximately $9,378,880.
According to a statement of facts filed with his plea, Waker and others prepared and submitted mortgage loan applications containing false and fraudulent documents including bank statements, deposit slips, property appraisal reports and other documents.
Waker’s role including selling various residential properties located in or near Dayton, Ohio under the name of purchasers who were not the real buyers and providing down payment money to fraudulently secure mortgage loans.
Waker faces up to 20 years imprisonment and a fine of $500,000 or twice the value of the property involved, which ever is greater.
According to the indictment, between July 14, 1999 and December 31, 2001, Waker utilized straw buyers to purchase properties at a price near or below fair market value, sold the properties at high prices to end buyers who wanted to own rental property and reaped the bulk of the profits on the sale. The loans for the end buyers were obtained using false pretenses and the loan applications and supporting documents, including W-2's, bank statements, verifications of employment, verifications of deposit and property appraisals, contained false information.
Properties referenced in the indictment include:
2045 Courtland Avenue, Dayton, Ohio
640 Taylor Street, Dayton, Ohio
53 Eat Helena Street, Dayton, Ohio
325 Quitman, Dayton, Ohio
3815 Indian Ripple Road, Beavercreek, Ohio
Waker is scheduled to be sentenced on August 31, 2006.
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.