Mortgage Fraud Blog is the premier website for news and information on mortgage fraud and real estate fraud throughout the United States.
Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified Mortgage Banker who handles litigation for lending institutions and secondary market investors. She is an author and a nationally recognized speaker on the topic of mortgage fraud. Ms. Dollar is a shareholder with the law firm of Smith Dollar, PC, is licensed to practice law in California and maintains offices in Santa Rosa, California. Email Ms. Dollar
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Keith Joseph Ducey, 33, Atwater, California, surrendered himself to the Merced Superior Court on $20,000 warrant issued for his arrest. According to District Attorney Real Estate Fraud Investigator Jesse Valdez, a Superior Court Judge issued the warrant on charges of Grand Theft. The charges stem from an ongoing investigation related to alleged criminal activities of Valentina Ortiz, a former escrow officer employed by Alliance Title.
Ducey, a former Pacific Bancorp loan officer, is alleged to have received unauthorized payments totaling $4000.00 from an escrow account handled by Ortiz, said Valdez. The unauthorized payments to Ducey came to light following an internal audit of Alliance Title escrow funds disbursed by Ortiz. Valdez noted that Alliance Title began its investigation following its termination of Ortiz.
District Attorney Investigators arrested Ortiz on March 8. She is facing multiple felony embezzlement charges. “This is an ongoing investigation, as evidenced by this second arrest,” said Investigator Valdez. “Real estate fraud and conspiracy to commit it make investigation time consuming and difficult. As this investigation continues, it is possible that more arrests will be made,” added Valdez.
I’m innocent. When the facts are presented, I will be fully exonerated.
If the checks I received were erroneous I would imagine the title company would contact me directly and let me know. But these checks were disbursed over 2 years ago and now I’m being accused of stealing them. Ridiculous. I was part of no scheme, just an honest guy trying to make an honest living.
Yes I surrendered myself and then the warrant was recalled and I was released on my own recognizance. They only tell you want they want to tell you.
Posted by on 06/07 at 12:22 PM
So you were paid commission out of a fraudulently used account over a period of 2 years.
This account being discovered after the individual was terminated… and an arrest warrant was issued for you and “more to come” ...?
Now that’s pretty heavy…
SO if that’s the case, is every LO/Bank officer/broker/etc going to have arrest warrants issued when someone else misuses their authority at a title co?
The mere mention of mortgage fraud or “there was an arrest warrant issued for..” in some towns can be the absolute death of an impeccable career…
It is imperative that local, state and federal authorities work in conjuntion with each other before passing judgment on the innocent and honest persons that are left to clean up the mess of these fools anyway…
Posted by on 06/07 at 07:25 PM
“Real estate fraud and conspiracy to commit it make investigation time consuming and difficult.”
Yeah this is because they really can’t be sure who to point the finger at.
Columbo: The charges stem from a loan I originated back in 2005. I received two checks for $2000 each ($4000 total) from the escrow company in regard to this loan. After they terminated the escrow agent , near the end of 2005, they found inconsistencies in many of the escrow agent’s files, apparently also in this particular loan I received the checks on. The borrower said the checks were unauthorized and they came after me. I hadn’t heard anything about this particular loan until about a month ago. As I said, I’m fully innocent, the title company is expected to do a better job of overlooking it’s files and employees rather than allow false accusations like mine to occur.
and you’re absolutely right, this crap running in the local newspaper is like a death sentence regardless if I’m exonerated or not. People are already judging me and I doubt I’ll be able to originate many if any loans again.
Posted by on 06/08 at 01:08 AM
k.ducey-and for that I’m sorry you’re being judged and your business affected. It’s gonna be a bumpy ride. The industry is looking for small-time martyrs at this point to avoid and delay the prosecution of the REAL criminals-the gov’t.
You see, since your business and that of hundreds if not thousands like you as well has tanked due to fallout and frivolous prosecutions, FHA recently has reported a massive increase in their loan applications and are considering 100% loans…
Isn’t this what got us where we’re at NOW?
Posted by on 06/09 at 04:10 AM
columbo: I hear you!
I appreciate the kind words as well.
I have nothing to worry about. I have plenty of support & a great attorney.
It sucks that it’s gonna cost me in order to pull me out of something that I should have never been pulled into.
Failed Mortgage Firm Trustee Allowed $50,000 in Fees Union Leader
U.S. Bankruptcy Court Judge J. Michael Deasy will approve $50,000 in legal fees for the trustee of failed mortgage brokerage businesses Financial Resources Mortgage Inc. and CL&M Inc.
Bend Oregon Event to Help Homeowners Prevent Foreclosures Oregon.Gov
As part of an ongoing effort to help homeowners avoid foreclosure, state agencies are organizing a foreclosure-prevention event in Bend on Saturday, March 27, 2010.
Shelbyville Man Gets 2-Year Sentence For Loan Fraud Chattanoogan.Com
Prosecutor Gary Humble said the lost was approximately $2.3 million in the mortgage fraud involving hundreds of homes in the Shelbyville area.
Lend America, VP Ashley Banned from FHA Housing Wire
Michael Ashley, the embattled former vice president of Federal Housing Administration (FHA)-backed mortgage originator Lend America, and the company he worked for, were permanently banned from doing business in the industry last week.
Countrywide Tries to Pin Blame on Insurer Court House News
Countrywide Home Loans demands $111 million from Triad Guaranty Insurance, claiming Triad is trying to blame mortgage lenders for the insurer's role in the housing bubble and collapse.
Investors Say They Were Swindled in Property Scheme Fox 13 Now
Utah Division of Consumer Protection is joining forces with a few investors who claim they have been cheated by an agency called "Utah Mini Ranches.
Greenfield Man Accused of Housing Scam The Republic
A former real estate agent conned at least eight people by renting them properties actually owned by a federal agency and then running off with their deposits, prosecutors said.
Appraisal Institute Opposes Obama Administration's Plan for Homeowner 'Short Sales' PR News Wire
Citing concerns about increased mortgage fraud, four organizations representing more than 35,000 real estate appraisers today voiced their opposition to changes to an Obama administration program that will encourage "short sales" of homes.
Ownership Rights to Get Another Look TBO.Com
State lawmakers may beef up protections of property owners' rights by rewriting a law this spring that is at the center of a case of alleged fraud in Pasco County.
Thursday, February 18, 2010 F. Jeffrey Miller Trial Continued Testimony
As reported by Anne Mitchell, who viewed the trial:
Angela Parenza worked for Jeff Miller as the office manager for 7 or 8 years beginning in 1998. Parenza was indicted along with Miller and pled guilty to conspiracy to commit bank fraud and money laundering. Parenza testified that Miller or his contractors allegedly preferred to build all the...
Wednesday, February 10, 2010 F. Jeffrey Miller Trial Coverage Continued - Witness Testimony
Steve Middleton Testimony - Coverage Provided by Anne Mitchell
The Government continued in its cross examination of Steve Middleton. He was shown several HUD-1 statements involving sales of homes located in Overland Park, KS, and Olathe, KS. The HUD statements each allegedly showed line items of payments to (James) Moser & Associates, LLC's...
Monday, February 01, 2010 F. Jeffrey Miller Trial Coverage - Continued Witness Examination
According to Anne Mitchell, who is present in court for the trial:
Next Witness: Kelly Sanford
Kelly Sanford of the Federal Reserve was a short witness for the Government. Sanford manages electronic payments between banks and member financial institutions. He was shown copies of wire transfers and asked whether they coincided with the counts in...
Wednesday, January 27, 2010 F. Jeffrey Miller Trial - Prosecution Witnesses Continued
According to Anne Mitchell, who is viewing the trial:
January 13, 2010
Witness: Rick Hayes
Rick Hayes testified that on the day that he closed on his Miller Enterprise home, he received a phone call from the Kansas Banking Commission informing him that his loan was fraudulent. After the Hayes responded to a classified ad, they met with John...
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The information and notices contained on Mortgage Fraud Blog are intended to summarize recent developments in mortgage fraud cases and mortgage banking matters nationwide. The posts on this site are presented as general research and information and are expressly not intended, and should not be regarded, as legal advice. Much of the information on this site concerns allegations made in civil lawsuits and in criminal indictments. All persons are presumed innocent until convicted of a crime. Readers who have particular questions about mortgage banking, mortgage fraud matters or who believe they require legal counsel should seek the advice of an attorney. The creators, editors and sponsors of Mortgage Fraud Blog do not intend to create a confidential relationship or an attorney-client relationship by communication via or arising from this site.
Rachel Dollar, the editor of Mortgage Fraud Blog, is an attorney and Certified Mortgage Banker who handles litigation for lending institutions and secondary market investors. She is an author and a nationally recognized speaker on the topic of mortgage fraud. Ms. Dollar is a shareholder with the law firm of 
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