Monday, August 11, 2008

And they thought they were clever…

I have not seen this type of fraud for awhile. Most people think real estate fraud is where innocent home owners are swindled out of there life savings by a crooked agent or mortgage broker. Well, this is where the homeowners tried to pull a fast on the bank and got caught!!

“An Oak Grove couple who allegedly devised a scheme to defraud and collect
$690,000 from four mortgage lending companies was charged Aug. 4 with four
counts of mail fraud, the U.S. Attorney's Office said.
…In April 2006, Niska
allegedly filed a fraudulent satisfaction of mortgage form with the Anoka County
Recorder's Office stating that the Bravo loan had been paid off. In May 2006,
the couple sold the home for $675,000. The buyer borrowed $540,000 and got a
$135,000 fraudulent "gift of equity" from the couple, the indictment said.”


And then…

“…the couple induced the title company to pay them $510,000 instead of paying
the money to Bravo. The couple also kept possession of the house, the indictment
said.”

It never surprises me what people do. Do people actually think that lenders just forget about half million dollars?

Source

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