Real Estate Agent Sentenced for Defrauding Lenders

admin —  May 19, 2009 — 4 Comments

Oladipo Olafunmiloye, 39, Gambrills, Maryland, a real estate agent, has been sentenced to 46 months in prison, followed by five years of supervised release, for bank fraud and money laundering in connection with a scheme to defraud mortgage lenders. At the sentencing, U.S. District Judge Alexander Williams, Jr. found that Olafunmiloye’s fraudulent scheme incurred losses of $3 million, and ordered him to pay restitution in that amount. Judge Williams also ordered Olafunmiloye to forfeit his interest in a Rolls Royce automobile and funds held in four bank accounts.

As previously reported on Mortgage Fraud Blog when Olafunmiloye pled guilty, Olafunmiloye owned a real estate company known as LAFA. From November 2004 to December 2006, Olafunmiloye organized a scheme in which co-defendants Sidney Okosun, Oyekunle Ikudayisi, Kolawole Aminu and others sought to fraudulently obtain mortgages and refinance loans to purchase properties for sale in Maryland and the District of Columbia that were owned by Olafunmiloye or LAFA, without identifying Olafunmiloye’s ownership interest in the properties. To that end, the defendants recruited individuals to act as purchasers, when in fact, these “straw” buyers became owners of the properties in name only and made almost none of the payments related to the purchase of the properties, including down payments, closing costs and mortgage payments. Rather, Olafunmiloye made almost all of these payments. Members of the scheme obtained mortgage loans for the properties in their own names, using their good credit histories. Olafunmiloye supervised the submission of false statements on loan applications as to the straw buyers’ incomes and their intent to make the properties their primary residences, in order to induce mortgage lenders to make loans at more favorable rates. Olafunmiloye also provided capital to the other defendants in order to perpetuate the scheme. Once the purchase of the properties had been funded, Olafunmiloye defaulted on mortgage payments, which forced the lenders to foreclose, thereby incurring losses.

During the course of the scheme, Olafunmiloye also provided false information to obtain loans in his own name, including loans on five properties, all of which went into foreclosure, resulting in losses to the mortgage lenders of over $492,767 on these properties alone.

Finally, Olafunmiloye laundered money obtained from the fraud scheme, including 12 transactions from August 2005 to September 2006 totaling $308,311.

Sidney Okosun, 40, a Nigerian national, previously pleaded guilty to bank fraud. Kolawole Aminu, 45, a Nigerian national, and Oyekunle Ikudayisi, 39, White Plains, Maryland, previously pleaded guilty to conspiracy. Aminu was sentenced to 3 years probation and ordered to pay $161,064 in restitution. Ikudayisi and Okosun have not yet been sentenced.

United States Attorney for the District of Maryland Rod J. Rosenstein made the announcement.

These types of crimes create a significant loss of tax revenue and drive buyers into foreclosure,” stated C. Andre’ Martin, Internal Revenue Service-Criminal Investigation Special Agent in Charge. “The IRS-Criminal Investigation is united with the rest of the law enforcement community in our commitment to pursue individuals who create such havoc against our society and economy.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service and the Internal Revenue Service – Criminal Investigation for their investigative work. Mr. Rosenstein commended Assistant United States Attorneys James A. Crowell IV and Robert K. Hur, who are prosecuting the case.

Be Sociable, Share!


Posts Google+

4 responses to Real Estate Agent Sentenced for Defrauding Lenders

  1. How are so coming coming to the USA scamming hard working Americans out of money and homes. They come to the US with so many alias and get away with thousands of tax payers hard earned money.I want to say, Thanks to all the task forces for thier work to end these scams.

  2. Is this the same guy that emailed me a while back and said if I would wire 10K to Nigeria I would receive $20MM in two weeks? And to think I almost wired the 10K!

  3. How in the hell did these crooks get real estate licenses in the first place??? Another Nigerian scam – only in the flesh and not online.

  4. Richard Stabile Bergen County Real Estate May 20, 2009 at 1:25 am

    I wonder why I don’t read about the higher ups in the system also being challenged for making such bad loans, misleading the public and not giving a fiduciary responsibility to their client the borrower. Is anyone trying to bring an action against a large bank or institution for this whole crisis?

Leave a Reply

Text formatting is available via select HTML.

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>