Doris W. Jones, 56, the owner Quantum Investments, a mortgage brokerage in Indianapolis, Indiana was sentenced to 21 months in prison and was ordered to pay restitution of $206,500 in connection with a mortgage fraud scheme. Jones pled guilty to money laundering and conspiracy to commit wire fraud.
According to authorities, Jones brokered over 20 mortgages between June 2001 to July 2003 that involved inflated appraisals, falsified down payments and false invoices. The scheme resulted in lender losses of approximately $684,000.
Jones cooperated with authorities in the prosecution of Michael C. Smith, the appraiser that provided the inflated appraisals Smith waswas also an Indianapolis Police officer. Smith was convicted by a jury of money laundering, wire fraud and conspiracy to commit wire fraud in two mortgage fraud schemes. Ten additional people are awaiting sentencing in those schemes.
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.