Tuesday, October 06, 2009
Broker and Builder Sentenced For Mortgage Fraud
John T. Laufer was sentenced to 8 months' imprisonment and Rick J. Roloff was sentenced to 7 months' imprisonment for their roles in a Wisconsin mortgage fraud scheme.
According to documents filed in the federal case, between approximately 2001 and 2006, Laufer, who operated Laufer Builders, Inc., and Roloff, a mortgage broker doing business as All
American Mortgage, Inc., worked together to secure loans for individuals buying homes and condominiums from Laufer. To obtain the loans, Laufer and Roloff submitted materially false loan applications and other documents intended to deceive lenders as to the applicants' financial condition and ability to make down payments. For example, according to documents filed in the case, Laufer and Roloff: submitted applications which listed false bank account balances and employment information; created false employment documentation; deceived lenders as to purchase prices and down-payment information; created false "gift letters" intended to deceive lenders as to the source of funds allegedly being used for down payments; and, at times, temporarily deposited their own money into applicants' bank accounts for the purpose of inflating the account balances being shown to lenders.
Laufer and Roloff also were ordered to spend three years on supervised release following completion of their prison terms.
United States Attorney for the Eastern District of Wisconsin Michelle Jacobs announced the sentence.
The case was investigated by the United States Department of Justice, Bureau of Alcohol, Tobacco, Firearms, and Explosives, with assistance from the Kewaskum Police Department and the
Office of the State Fire Marshal, Wisconsin Department of Justice / Division of Criminal Investigation.
mortgage fraud
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Some Sources require Registration.
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Trial coverage provided by Anne Mitchell, Crazy Fish Realty.
F. Jeffrey Miller Update - October 20, 2009
A hearing was held in Topeka, Kansas in front of Judge Julie Robinson. Miller is currently being held pending his sentencing which is set for December 22nd, 2009 at 9:00 a.m.. Steve Vanatta and Hallie Irvin, Miller's codefendants, will be sentenced at that time also.
Several motions were heard this week. One was a motion for Miller to be released pending his sentencing. Miller's attorney, Jeff Morris, argued that the court had dismmissed with predjudice the matter involving Miller's purchase of a commercial lawnmower, violating the court ordered monitoring agreement. He also argued that Miller was not a flight risk and should be released. This motion was denied.
Another motion heard by Judge Robinson was that of an escrow account containing proceeds from the sale of Miller's forfeited assets. This account has a balance of $143,000. Attorney Morris argued that his firm was due $100,000 for work done in the Miller matter, to date. The government argued that his 'un-itemized fees' were 'exhorbitant'. The balance of the funds, Morris argued, should be released to the Miller family to help pay for mounting household expenses.
The government argued that the 'Asset Forfeiture Provision' applies down to 'the last penny' and that 'the rights of the victims to made whole are of paramount immportance' and that no routine household expenses like Visa bills, are allowed.
Attorney Morris argues that there is more than enough assets to satisfy the jury's judgement of $2.65 million dollars. The government argues that the estimated value of his assets are only $1.4 million.
The government also stated that Miller has been paid dividends from a company Miller has an ownership interest in; Boreflex. From July, 2008 to present, Miller has been paid $330,509.30 from Boreflex, unbeknownst to the court appointed monitor.
Present in the courtroom was Todd Earnshaw. Earnshaw was indicted along with Miller and others in what is commonly referred to as 'Miller I'. That trial is scheduled to begin on January 11, 2010 in Topeka, Kansas.
More Trial Coverage
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