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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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Defendant Receives 60 Months in Prison for Mortgage Fraud
Ramzy Moumneh, a/k/a Ramsey Moumneh was sentenced to 60 months in prison, 3 years of supervised release thereafter and must pay $94,088 in restitution. Moumneh was found guilty along with four of his co-defendants stemming from an indictment alleging a foreclosure rescue scheme.
As previously reported by Mortgage Fraud Blog, according to the evidence presented at trial and court documents the defendants targeted homeowners located throughout Central and South Florida who were about to lose their homes through foreclosure. The homeowners were told that First Hanover Mortgage Corp., a company owned and controlled by the Moumneh brothers, could help them avoid the foreclosure and keep their homes at no cost to them.
Rather than helping the homeowners, the homeowners were duped into selling their homes to straw buyers who were recruited by the defendants. This was done under the pretext that the homeowners could buy their homes back after making 12 monthly lease payments.
The defendants recruited straw buyers and then arranged for the sale of the homeowners’ homes to the straw buyers. They arranged for new mortgages that exceeded the amount of the mortgages the homeowners originally had against the properties. The defendants prepared documents and papers associated with the straw buyers’ purchase of the properties. The loan documents contained false representations that the straw buyers intended to use the properties as their primary residences. The closings of the transactions were conducted so that the straw buyers did not have to produce any funds at closing.
Homeowners were given documents to sign, including deeds, without having a chance to read and review and without being provided copies. The defendants also forged homeowners’ signatures on documents.
Pursuant to a document entitled “Demand Pay Off Statement”, after paying off the existing mortgage loan, the excess funds remaining from the new loan were paid to Properties Management Corporation and Maxx Financial, Inc., entities owned and controlled by the Moumnehs and Chuong Dam, respectively. The Demand Pay Off Statement, according to court documents, was a sham document created by the defendants and sent to either Voiklis, Brothers, or Junge, who were the closing agents for each of the home sales. The Demand Pay Off Statement was a demand for payment of a non-existent lien against the homeowner and in favor of Properties Management Corporation or Maxx Financial, Inc.
Without the knowledge or consent of the homeowners, more than $2 million of homeowners’ equity was siphoned off and distributed to the defendants.
If these people got over 2 million with mortgage fraud, why do they only have to pay back 98,000? What happened to the poor people that lots their homes?
Posted by on 09/26 at 07:09 AM
Very interesting!
Posted by on 10/01 at 11:31 AM
THAT’S JUST IT GENIOUS...RESTITUTION WAS ONLY $94,088 B/C THAT WAS THE ONLY LOSS!! JUDGE SAID IT HIMSELF IN COURT!!
***READ THE TRANSCRIPTS PEOPLE***
HE ALSO SAID THE HOMEOWNERS WERE NOT VICTIMS...REASON WHY 2 MIL WASN’T INCL IN RESTITUTION. JUDGE SAID, “THOSE HOMEOWNERS KNEW WHAT THEY WERE SIGNING AND KNEW THEY WERE SELLING THEIR HOMES. THEY WOULD’VE LOST THEM ANYWAY.”
MANY, MANY COUNTS WERE THROWN OUT...ONE BIG BOGUS INDICTMENT!
...WHAT HAPPENED TO THE POOR PEOPLE THAT LOST THEIR HOMES??? ARE YOU KIDDING ME?? THEY HAD THE PERFECT OPPORTUNITY TO GET THEM BACK BUT CHOSE TO NOT PAY THEIR RENT/LEASE PAYMENT & WORK THE SYSTEM FOR AS LONG AS THEY COULD, NOT PAY AND LIVE RENT FREE...THEN, HAVE THE AUDACITY TO STAND IN OPEN COURT SAYING “I’M HERE TO SEE WHAT THE GOV’T CAN DO FOR ME. I JUST WANT MY HOUSE BACK.” BASICALLY ADMITTING THEY’RE WILLING TO LIE FOR THE GOVT, AS WAS PROVEN ON THE STAND BY 5-6 GOV’T WITNESSES. WHAT ABOUT THE GUY WHO ADMITTED...100% ADMITTED...IN OPEN COURT HE LIES WHEN HE’S NERVOUS, THAT OF COURSE WAS AFTER HE GOT CAUGHT IN A LIE...IN COURT...ON THE STAND. WHAT ABOUT THE LADY WHO BEGAN CRYING AFTER THE DEFENSE PRESENTED EVIDENCE THAT SHE DID SIGN SOMETHING SHE DENIED, THEN ADMITTED, “YES, I DID SIGN THAT. THAT IS MY SIGNATURE.” ONLY AFTER, SWEARING SHE DID NOT SIGN IT!! WTF?
YOU PEOPLE HAVE NO CLUE WTF YOU’RE TALKING ABOUT!!
THESE DEFENDANTS MAY HAVE MADE MISTAKES, WITHOUT INTENT, VERY IMPORTANT YOU UNDERSTAND WITHOUT INTENT, BUT THEY MOST SURELY DID NOT TAKE MILLIONS OF DOLLARS FROM POOR HOMEOWNERS.
READ THE TRANSCRIPTS AND SEE FOR YOURSELF IN BLACK AND WHITE PEOPLE WHAT THE JUDGE SAID IN SENTENCING..."THESE HOMEOWNERS WERE NOT VICTIMS THEREFORE THERE IS NO LOSS.” PLAIN AND SIMPLE. THIS WAS A WASTED CASE...WASTED TIME & MONEY SPENT BY THE GOV’T...THEY SHOULD BE ASHAMED FOR CHASING SOMETHING THAT NEVER WAS.
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.
Defaulted Loans May Haunt Seniors On Line WSJ.Com
A little-noticed law could soon result in smaller Social Security checks for hundreds of thousands of the elderly and disabled who owe the U.S. money from defaulted loans and other debts more than a decade old.
Oregon to Help Homeowners Prevent Foreclosures CBS State
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.
Couple Loses $850,000 in Alleged Ponzi Scheme Boston Herald
Al and Susan McIlvene of Kittery Point, Maine, can remember the exact moment in November when they realized they might lose their entire life savings of $850,000, reports the Portsmouth Herald.
Mortgage Fraud Charges Filed Against Former Bakersfield Realtor, Her father KGET.Com
A former Bakersfield real estate agent and her father face 15 felony counts each of money laundering, conspiracy and grand theft in connection with an alleged multi-million dollar mortgage fraud scheme, newly filed court charges show.
Witness: Mortgage Name Not the Same Clarion Ledger
A former Clinton homeowner was called to testify Wednesday as prosecutors to try to prove a Ridgeland-based mortgage broker and two associates were behind a $9 million mortgage fraud scheme.
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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