Aaron V. Hernandez, 41, McLean, Virginia, was sentenced to 63 months in prison, followed by four years of supervised release, for running a mortgage fraud scheme that caused more than $4.5 million in losses. Hernandez was ordered to pay more than $4.5 million in restitution and was ordered to forfeit approximately $2.4 million.

On May 21, 2010, Hernandez pled guilty to conspiracy to commit mail fraud and bank fraud. According to court documents, Hernandez was employed by a company in Woodbridge, Va., during 2006 and learned from its employees how to falsify the loan applications of prospective purchasers of vacant, sub-divided lots in North Carolina and South Carolina. The fraud included providing fake employment information and inflating buyers' income levels, value of the real estate that they owned, or other liquid assets purportedly held by the applicants.

In December 2006, Hernandez struck out on his own and formed mortgage companies in Northern Virginia, using the same fraudulent practices he learned from his previous employer. His businesses grew to more than 10 employees, at least three of whom he conspired with to provide false and fraudulent loan applications to lenders.

Court documents list at least 14 properties that Hernandez financed through these fraudulent practices, all of which eventually resulted in foreclosure. The financial loss suffered totaled more than $4.5 million.

Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Shawn Henry, Assistant Director in Charge of the FBI Washington Field Office; and Daniel S. Cortez, Inspector in Charge of the Washington Division of the United States Postal Inspection Service, made the announcement after sentencing by United States District Judge Claude M. Hilton.

This case was investigated by the FBI Washington Field Office and the United States Postal Inspection Service. Assistant United States Attorneys Mark D. Lytle and Inayat Delawala prosecuted the case on behalf of the United States.