A former real estate agent will spend 20 months in jail and must pay more than $5.6 million in restitution for a mortgage fraud scheme that had lenders holding bad loans. The scam had inflated loans which cause homes to be sitting vacant for extended periods of times causing property values to drtop tremendously.
Angela R. Clark, was one of 19 who plead guilty and been sentenced for their roles in the $12.6 million scheme spanning the housing bubble time. Clark started the scheme, in which 15 buyers took out loans for more than the actual sale price of the homes, then kept the additional loan proceeds. The sent fake invoices to Title Companies that showed payment was due to business entities that were made up to hide fact that buyers were keeping fundings.
I am happy to know that the real estate agent has been punished for his misdeed. I feel that the mortgage scammers should be punished heavily. One of the reasons behind the slow recovery of the housing market is the mortgage scams. People are loosing millions and millions of money because of these scams. Scammers have no right to squander away the hard earned money of the consumers. Both government and people should watch out for the
ReplyDeletemortgage scams and take steps to avoid them.