According to the Mortgage Fraud Blog, Four men were indicted in Dallas, Texas in connection with an alleged mortgage fraud scheme involving approximately $2 million in fraudulent loans. The indictment, charges seven counts of conspiracy, mail fraud, wire fraud and bank fraud against Charles Cooper Burgess, Mark Manners, Robert L. Loeb, and Andrew Siebert.
According to the indictment the defendants engaged in a conspiracy whereby they would locate single family residence to purchase and recruit straw borrowers to purchase the homes. They would submit fraudulent loan documentation to lenders in the name of the straw borrowers to obtain loans in an amount greater than the value of the residences and cause inflated loan amounts to be funded by mortgage lenders and financial institutions. The fraudulently obtained proceeds were paid out of the proceeds of the loans to Custom Select Homes and/or Better Homes of Dallas, company names utilized by the defendants and were, according to the indictment, distributed among the conspirators and others. In addition, the defendants would execute contracts between their company and the straw borrowers providing that the company would be responsible for the loan and would then fail to fulfill those contracts.
Properties listed in the indictment include:
2405 Northridge Drive, Garland, Texas
1821 Rockford Court, Allen, Texas
500 Lamar Court, Irving, Texas
1609 Milsap, McKinney, Texas
7412 Boulder Creek, McKinney, Texas
8242 Library Street, Frisco, Texas
The Mortgage Fraud Blog is hosted by Rachel Dollar, an attorney and Certified Mortgage Banker who handles fraud recovery litigation for lenders and secondary market investors nationwide. I recommend her site highly.
Bill Thompson, REALTOR®