Robert O. Bryant, 48, was indicted on 49 counts of securities fraud and one count of theft. Each of the counts is a class 3 felony, punishable by up to 12 years in prison and $750,000 in fines.
Bryant was allegedly involved in a scam that promised investors high rates of return on loans backed by deeded real estate. Bryant and his partner, Orange County California’s Salvatore Favata, approached consumers across the Front Range of Colorado through California-based National Consumer Mortgage Company. Bryant allegedly claimed to represent individuals needing a loan with real property as collateral; often, when no such individuals or property actually existed. All told, Bryant is accused of taking in excess of $9.4 million from Colorado families through 130 different transactions. More than $8 million of those funds were never repaid.
“Individuals who commit securities fraud prey upon the trust and good faith of Coloradans,” said Attorney General John Suthers. “Cases like this demonstrate that fraudulent activity will not go unnoticed, and responsible parties will be held accountable.”
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.