Mark D. Musselman, Clayton, Ohio was indicted in 2005 on 48 felony counts and Mark S. Edwards, Piqua, Ohio was charged with 59 felonies in connection with allegations that they falsified two dozen mortgages, including mortgages to borrowers who were previously deceased. The two ran a now defunct mortgage brokerage Phoenix Funding, 303 Corporate Way, Vandalia, Ohio.
As previously reported on Mortgage Fraud Blog, ABN AMRO had filed a lawsuit in Montgomery County Common Pleas Court against Musselman, Edwards, title companies and title insurance companies claiming that 23 borrowers on its loans were deceased. Edwards pleaded guilty to the charges.
According to media reports, Musselman was tried and convicted of forgery and theft and was sentenced to 12 years in prison and ordered to pay $4 million in restitution. Edwards, who pled guilty to 34 counts, is cheduled to be sentenced later this year.
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.