Friday, April 06, 2001
ESSEX ATTORNEY AND FORMER CLIENT INDICTED IN MULTI-MILLION DOLLAR REAL ESTATE FRAUD
An Essex County, New Jersey attorney and three others were indicted by a state grand jury on allegations that they fraudulently bought and sold the same two real estate properties repeatedly then hid the proceeds through money laundering.
The indictment estimates the two properties to be valued in excess of half-a-million dollars. Authorities have alleged that the fraudulent selling and re-selling of these properties netted the alleged co-conspirators nearly $2 million.
Those indicted were:
George Shamond Scott (DOB 1/4/75), of the first block of Lakeside Avenue, North Caldwell, Essex County, New Jersey;
attorney Sonia Harris (DOB 8/3/62), of the first block of Sherman Avenue, East Orange, Essex County, New Jersey;
Yanko Amendola (DOB 11/29/72) of the 700 block of Barry Avenue, Perth Amboy, Middlesex County, New Jersey; and
Lisa Dumey, also known as Lisa Riley (DOB 5/30/73), of the 1300 block of Stockton Street, Rahway, Union County, New Jersey.
The case was presented to the state grand jury by Deputy Attorney General Paul G. Shapiro, of the Division’s Financial Crimes and Antitrust/Money Laundering Bureau.
The defendants, who are alleged to be co-conspirators with the common purpose to defraud, participated in the alleged real estate scam between June 1998 and September 1999, according to the indictment. It is alleged that the proceeds were then concealed through money laundering.
According to the indictment, Scott, a local real estate investor, and Harris, would arrange for the proceeds of the fraudulent real estate transactions to be deposited in Harris‘ attorney trust account. The indictment further alleges that Harris took money out of that trust account for her use and benefit or for the use and benefit of the co-conspirators and would engage in additional transactions with the ill-gotten gains.
The two others indicted, Amendola and Dumey, were indicted on charges that they participated in the conspiracy to defraud.
Scott and Harris were indicted on an additional charge of theft by deception, in which they obtained the two real estate properties fraudulently from mortgage companies between April 1998 and September 1999 by “creating and reinforcing the false impressions that they had the ability to convey a particular piece of property, or that they had or would pay off prior liens on a particular piece of property.”
It is alleged that the defendants had no ability to do so, nor did they pay off those liens on the two real estate properties before repeatedly reselling the properties. One property involved in the alleged scam was the property and residence in which Scott lived. The other property was located in West Caldwell, Essex County, New Jersey. It is alleged that Scott tried to buy and/or sell both properties multiple times.
Division of Criminal Justice State Investigator Raymond Gardner investigated the case. The state Division of Taxation assisted in the investigation.
All of the defendants were indicted on second-degree charges of conspiracy; Scott and Harris were also both indicted on first-degree charges of money laundering, second-degree theft by deception, and second-degree misapplication of entrusted property; while Scott was also indicted on two third-degree charges of failing to file a state income tax return in 1999 and 2000.
If convicted of all charges, Scott faces a maximum of 60 years in prison and $1.3 in fines; Harris faces a maximum of maximum of 50 years in prison and $1.3 in fines; Amendola faces a maximum of 10 years in prison and a $100,000 fine; while Lisa Dumey faces a maximum of 10 years in prison and a $100,000 fine.
The indictment was handed up to Superior Court Judge Neil H. Shuster, Mercer County acting assignment judge. The case has been assigned to Union County for trial.
An indictment is merely an accusation. The defendants are presumed innocent unless or until proven guilty.
mortgage fraud
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Rachel Dollar is an attorney and Certified Mortgage Banker who handles fraud recovery litigation for lenders and secondary market investors nationwide. She is a nationally recognized speaker on the topic of mortgage fraud. Ms. Dollar is licensed to practice law in California and maintains offices in Santa Rosa, California. 
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