Lawyer owes $10M-plus for false forms
(Source: chicagolawbulletin.com) A federal judge has found an Aurora attorney liable for more than $10 million after previously finding he filed false documents with the government.
In a 12-page memorandum opinion, U.S. District Judge John J. Tharp Jr. ruled sole practitioner Robert S. Luce owes the government $3,452,499 in damages for 237 defaulted mortgage loans his mortgage company MDR Mortgage Corp. certified while it remained an approved...
Article
Diciembre 04, 2016
Jury Finds Allied Home Mortgage Entities and CEO Liable for Civil Mortgage Fraud - Awards $92 Million in Damages
HOUSTON – A federal jury has found the entities formerly known as Allied Home Mortgage Capital Corporation (Allied Capital) and Allied Home Mortgage Corporation (Allied Corporation) as well as president and CEO Jim C. Hodge liable in connection with more than a decade of fraudulent misconduct related to Allied’s participation in the Federal Housing Administration (FHA) mortgage insurance program. The jury returned the verdicts late yesterday...
Press release
Noviembre 30, 2016
Five Defendants Charged In White Plains Federal Court With A $33 Million Mortgage Fraud Conspiracy
Preet Bharara, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Division of the Federal Bureau of Investigation (“FBI”), and Christina Scaringi, the Special Agent-in-Charge of the Northeast Region of the U.S. Department of Housing and Urban Development (“HUD”), today announced the unsealing of an Indictment charging five defendants with conspiracy to...
Press release
Noviembre 30, 2016
Developer Indicted for Second Time in Two Years
(Source: theislandnow.com) Daniel Melamed, a Great Neck resident and Brooklyn real estate developer, was indicted for the second time in two years last Tuesday for schemes involving alleged residential mortgage fraud and larcenies, the state attorney general’s office announced.
Melamed, 40, and six others allegedly defrauded banks and the U.S. Department of Housing and Urban Development through the use of shell corporations, forged...
Article
Noviembre 28, 2016
Inquiry looks at Paterson’s HUD funding since 2010
(Source: northjersey.com) PATERSON – In their most recent subpoenas, federal investigators have requested city records covering Paterson’s use of millions of dollars of federal funding dating back to 2010, according to local officials.
The subpoenas for records extending back over six years suggest the federal probe could be examining the actions taken not only by the current administration of Mayor Jose “Joey” Torres but also those under his...
Article
Noviembre 28, 2016
California Woman Sentenced to Prison in Connection with Scheme to Defraud Struggling Homeowners
(USAO, CT) Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that MICHELLE LEFAOSEU, also known as “Michelle Bennett,” “Michelle Lee” and “Michelle Page,” 42, of Huntington Beach, Calif., was sentenced yesterday by U.S. District Judge Stefan R. Underhill in Bridgeport to 12 months and one day of imprisonment, followed by one year of supervised release, for participating in an extensive mortgage loan...
Press release
Octubre 31, 2016
Ulster County Real Estate Developer Sentenced In White Plains Federal Court To 37 Months In Prison For Fraudulent Kickback Scheme
(USAO, NY) Preet Bharara, the United States Attorney for the Southern District of New York, announced today that MICHAEL BARNETT, a real estate developer, was sentenced today by U.S. District Judge Kenneth M. Karas to 37 months in prison for conspiring to defraud lenders and make false statements to the U.S. Department of Housing and Urban Development (“HUD”) in connection with his development of Vineyard Commons, a luxury residential complex...
Press release
Octubre 26, 2016
Watershed contractor ducks lengthy prison term for kickback scheme
(Source: nj.com) NEWARK — A federal judge Monday sentenced a former contractor for the Newark Watershed Conservation and Development Corp. to six months in prison for his role in a kickback scheme, much less time behind bars than sentencing guidelines recommended he should serve.
Giacomo "Jack" DeRosa, 68, previously had pleaded guilty in January in the U.S. District Court in Newark to a charge of laundering $85,000 in kickbacks to the...
Article
Octubre 26, 2016
Two California Men Sentenced to Prison in Connection with Scheme to Defraud Struggling Homeowners
(Source: USAO, CT) Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that KOWIT YUKTANON, also known as “Eric Cannon” and “Aaron Brock,” 32, of Huntington Beach, Calif., and CUONG HUY KING, also known as “James Nolan” and “Jimmy, 32, of Westminster, Calif., have each been sentenced by U.S. District Judge Stefan R. Underhill in Bridgeport to 18 months of imprisonment, followed by one year of supervised...
Press release
Octubre 25, 2016
Union City, New Jersey, Inspector Sentenced to 20 Months in Prison for Conspiring to Rig Contractor Selection Process for Community Development Projects
(Source: USAO, NJ) NEWARK, N.J. – An inspector at the Union City Community Development Agency (UCCDA) was sentenced today to 20 months in prison for conspiring with contractors to rig the selection process for home improvement, sidewalk replacement and other projects, causing losses of at least $307,000, U.S. Attorney Paul J. Fishman announced.
Johnny Garces, 53, of Union City, New Jersey, previously pleaded guilty before U.S. District Judge...
Press release
Octubre 25, 2016
Third man convicted in local squatting case
(Source: beverlyreview.net) A third of four men charged last year with squatting in several Beverly/Morgan Park homes has been found guilty.
Torrez Moore, 57, was convicted on Oct. 21 of Class X theft, Class X financial institution fraud and continuing a financial crimes enterprise following a three-day trial at the Leighton Criminal Courts Building, 2600 S. California Ave.
Moore, along with David Farr, was charged in July 2015; that December,...
Article
Octubre 23, 2016
Former State Representative Involved in Mortgage Fraud Scheme is Sentenced
(Source: USAO, CT) Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that VICTOR CUEVAS, 52, of Bristol, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to one year of probation and a $1,000 fine for conspiring with others to commit bank fraud in connection with his home mortgage loan applications.
According to court documents and statements made in court, in the summer of 2013, CUEVAS,...
Press release
Octubre 23, 2016
Mortgage Lender and CEO Agree to Settle to Resolve Allegations of False Insurance Claims
BOSTON – The U.S. Attorney’s Office has reached a $1,025,000 civil settlement with First American Mortgage Trust, d/b/a NXTLoan.com, a small mortgage lender based in Brighton, Mass., and its founder and CEO, Barry S. Polack, in connection with allegations that they submitted false insurance claims on mortgages insured by the Department of Housing and Urban Development’s (HUD) Federal Housing Administration (FHA).
The settlement resolves...
Press release
Octubre 18, 2016
HUD: Louisiana will get nearly $438M in first round of flood aid
(Source: theadvocate.com) Louisiana stands to get $437.8 million in federal disaster aid in the coming months, as leaders work to develop a long-term plan for recovery from catastrophic flooding that has left thousands of homes damaged or destroyed across the state.
The U.S. Department of Housing and Urban Development on Thursday announced that Louisiana is in line for nearly 88 percent of the $500 million that Congress approved in a last-...
Article
Octubre 16, 2016
Couple charged with stealing $1M in Sandy repair money to buy cars, jewelry
(Source: nj.com) TRENTON — An Ocean County couple who own two home improvement companies has been charged with stealing more than $1million from Hurricane Sandy victims and using the money to gamble and buy luxury items instead of repairing the homes they were hired to rebuild, authorities said Wednesday.
Jeffrey Colmyer, 41, and Tiffany Cimino, 43, who live together in Little Egg Harbor, were arrested and charged Tuesday with theft by failure...
Article
Octubre 12, 2016
Second Defendant Pleads Guilty In Mortgage Fraud Conspiracy
(Source: USAO, NY) BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Alagi Samba, 46, of Bronx, NY, pleaded guilty to conspiracy to commit wire fraud affecting a financial institution, before U.S. District Judge Laurence J. Vilardo. The charge carries a maximum penalty of 30 years in prison and a $1,000,000 fine.
Assistant U.S. Attorneys Kathleen A. Lynch and Elizabeth Moellering, who are handling the case, stated that...
Press release
Octubre 12, 2016
Former West New York commissioner sentenced in $400K HUD scam
(Source: nj.com) A former West New York commissioner will spend about a year on house arrest for collecting nearly $150,000 in rental income while being in default of a federal mortgage loan.
Ruben Vargas pleaded guilty to equity skimming in May after obtaining a $417,449 loan through the Department of Housing and Urban Development to buy a two-family home at 5512 Grant Place. Vargas collected about $3,000 each month in rental income from the...
Article
Octubre 12, 2016
U.S. questions $43M in Christie administration spending on Sandy housing aid
(Source: nj.com) WASHINGTON — Gov. Chris Christie's administration did not properly account for $43.1 million in Hurricane Sandy housing funds, according to a U.S. government watchdog.
The inspector general for the U.S. Department of Housing and Urban Development said the state did not ensure that the disbursements met a national objective, that the prices were fair and reasonable, the costs were necessary and there was proper documentation for...
Article
Octubre 05, 2016
Federal Audit Finds New Jersey Failed to Control Sandy Funds
(Source: njspotlight.com) Four years after Hurricane Sandy, a federal audit of money allotted to repair and rebuild in the hurricane’s aftermath has found that New Jersey “… did not have adequate controls in place to administer its contract and monitor contract performance and was not fully aware of federal procurement and cost principle requirements.”
Hammerman and Gainer Inc., a Louisiana company that New Jersey paid $43 million to handle...
Article
Octubre 04, 2016
Owner of California Company that Falsely Advertised Mortgage Assistance Sentenced to Prison
(USAO, CT) Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JOHN VESCERA, 60, of Dana Point, Calif., was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 12 months and one day of imprisonment, followed by three years of supervised release, for false advertising and misusing a government seal in connection with the provision of mortgage modification services.
According to court...
Press release
Septiembre 28, 2016