James Lytle, Lake Geneva, Wisconsin, is scheduled to plead guilty to defrauding mortgage lenders by making false representations in loan applications relating to the creditworthiness of borrowers and the appraised value of 19 properties.
The Information alleges a scheme wherein Lytle paid straw borrowers to obtain loans from eight different lenders for more than $4 million. In one scheme specifically set forth in the Information, Lytle utilized a straw borrower to fraudulently obtain a $300,000 loan from New State Mortgage, LLC at GMAC/RFC, for the property located at 900 Inlet Shore Drive, Delavan, Wisconsin.
The entire scheme encompassed the following properties:
105 Glenwood, Delavan, Wisconsin - USA Funding;
523 S. 2nd St., Delavan, Wisconsin - Argent Mortgage;
407 S. 2nd St., Delavan, Wisconsin - First State Mortgage;
300 Wildwood, Darien, Wisconsin - First State Mortgage;
950 Center St., Delavan, Wisconsin - Argent Mortgage;
1159 Highway H, Genoa City, Wisconsin - Argent Mortgage;
1617 N. Lincoln Ave., Lake Geneva, Wisconsin - Paragon Home Lending;
1577 N. Lincoln Ave., Lake Geneva, Wisconsin - USA Funding Corporation;
163 Oakwood, Williams Bay, Wisconsin - Paragon Home Lending;
7574 North County O, Whitewater, Wisconsin - New State Mortgage;
904 Inlet Shore Dr., Delavan, Wisconsin - Paragon Home Lending;
900 Inlet Shore Dr., Delavan, Wisconsin - New State Mortgage;
911 Grant St., Lake Geneva, Wisconsin - Paragon Home Lending;
607 McDowell St., Delavan, Wisconsin - Paragon Home Lending;
897 Wisteria Rd., Pell Lake, Wisconsin - Long Beach Mortgage;
62 E. Walworth, Delavan, Wisconsin - Paragon Home Lending;
1614 N. Geneva, Lake Geneva, Wisconsin - Paragon Home Lending;
900 Inlet Shore, Delavan, Wisconsin - Challenge Financial Investment Corporation; and
3645 Lortin Pl., Lake Geneva, Wisconsin - Fremont Investment.


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.