Westhill Consulting Property Consultants Examples of Mortgage and Real Estate Fraud Investigations - Fiscal Year 2014
Westhill Consulting Property Consultants Examples of Mortgage and Real Estate Fraud Investigations - Fiscal Year 2014
The following examples of mortgage and real estate fraud investigations are written from public record documents on file in the courts within the judicial district where the cases were prosecuted.
Wisconsin Man Sentenced in Mortgage Fraud Scheme
On June 25, 2014, in Milwaukee, Wisconsin, Billy Cannon, Sr. was sentenced to 48 months in prison for wire fraud and money laundering. His incarceration will be concurrent to a 16 year sentence he received earlier this year in state court for drug and firearm offenses. According to court documents, from at least June 2006 through July 2007, Cannon worked as a mortgage broker and used straw buyers to fraudulently obtain mortgages for numerous properties. Loan applications submitted to lenders by Cannon contained material misrepresentations which made the straw buyers more appealing candidates for a mortgage. The straw buyers almost uniformly defaulted on the loans. In all, nearly a million dollars was lost by lenders as a result of the scheme. Cannon has been ordered to pay restitution to the lenders for the losses incurred.
Washington State Man Sentenced for Participation in a Mortgage Fraud Scheme
On June 6, 2014, in Seattle, Washington, William Beard was sentenced to 16 months in prison, three years of supervised release and ordered to pay $1,343,618 in restitution to the IRS and victim banks. Beard pleaded guilty in February 2014 to evading taxes on his 2005 tax return by failing to report as income the proceeds of a mortgage-elimination scheme. According to court documents, after falling behind on his mortgage payments for his Los Angeles home in 2005, Beard enrolled in a mortgage-elimination program. That scheme, run by Jeff McGrue, Ronald Morgan, and another defendant, involved a series of false documents, including a fraudulent Full Reconveyance purportedly authorized by the lender that
The following examples of mortgage and real estate fraud investigations are written from public record documents on file in the courts within the judicial district where the cases were prosecuted.
Wisconsin Man Sentenced in Mortgage Fraud Scheme
On June 25, 2014, in Milwaukee, Wisconsin, Billy Cannon, Sr. was sentenced to 48 months in prison for wire fraud and money laundering. His incarceration will be concurrent to a 16 year sentence he received earlier this year in state court for drug and firearm offenses. According to court documents, from at least June 2006 through July 2007, Cannon worked as a mortgage broker and used straw buyers to fraudulently obtain mortgages for numerous properties. Loan applications submitted to lenders by Cannon contained material misrepresentations which made the straw buyers more appealing candidates for a mortgage. The straw buyers almost uniformly defaulted on the loans. In all, nearly a million dollars was lost by lenders as a result of the scheme. Cannon has been ordered to pay restitution to the lenders for the losses incurred.
Washington State Man Sentenced for Participation in a Mortgage Fraud Scheme
On June 6, 2014, in Seattle, Washington, William Beard was sentenced to 16 months in prison, three years of supervised release and ordered to pay $1,343,618 in restitution to the IRS and victim banks. Beard pleaded guilty in February 2014 to evading taxes on his 2005 tax return by failing to report as income the proceeds of a mortgage-elimination scheme. According to court documents, after falling behind on his mortgage payments for his Los Angeles home in 2005, Beard enrolled in a mortgage-elimination program. That scheme, run by Jeff McGrue, Ronald Morgan, and another defendant, involved a series of false documents, including a fraudulent Full Reconveyance purportedly authorized by the lender that