Darryl Glasco, 55, Pendleton, New York, who was convicted of bank fraud, was sentenced to six months home detention and four years supervised release for his role in a mortgage fraud scheme wherein fraudulent appraisals were submitted to lenders inflating property values.
U.S. District Judge Richard J. Arcara also ordered the defendant to pay restitution totaling $334, 024.08 to JP Morgan Chase and Bank of America.
As previously reported by Mortgage Fraud Blog, Glasco, a New York State licensed real estate appraiser, submitted a fraudulent appraisal in connection with a mortgage fraud scheme.
The defendant conspired with a borrower, James P. Vasiliou, Jr., to submit a fraudulent appraisal report to support an inflated property value for a mortgage loan. Glasco inflated the value of the property in Lockport, New York, by using false locations and values for comparable properties resulting in an inflated fair market value for the appraised property. The appraisal was submitted to JP Morgan Chase Bank which approved and funded a loan for the property.
Vasiliou has been convicted of bank fraud and will be sentenced in August 2014. As part of the plea agreement, Glasco admitted to providing false appraisals for nine additional properties.
U.S. Attorney William J. Hochul, Jr. announced the sentence.
The plea is the result of an investigation by the Mortgage Fraud Task Force of WNY, led by the U.S. Attorney’s office, which includes agents and personnel from the United States Secret Service, under the direction of Special Agent in Charge Tracy Gast, the Federal Bureau of Investigation, and Special Agents of the U.S. Department of Housing and Urban Development – Office of Inspector General, under the direction of Special Agent-In-Charge Christina Scaringi.
