Wednesday, October 08, 2008
Florida Man Indicted for $2.4M Fraud
Vaughn Addison was charged in a 4-count Indictment for his alleged role in a mortgage fraud scheme that resulted in the approval and disbursement of three mortgage loans, totaling $2,400,000. Addison used his position as an employee of two separate lenders to facilitate the approval of fraudulent mortgage loans on the sale of three residential properties in Marco Island, Florida (“the Marco Island properties”).
To execute the scheme, the mortgage broker in the transactions identified the Marco Island properties as residential properties that could be used to defraud lenders. False mortgage loan applications and other related documents were prepared by and on behalf of the straw buyers ostensibly recruited to purchase the properties, and these documents were submitted to the lenders to induce the lenders to fund mortgage loans on each of the Marco Island properties. These mortgage loan applications contained false information regarding the straw buyers’ employment, income, and their intent to live in the residential property as their primary residence. Each of the straw buyers signed the false mortgage loan applications.
Vaughn Addison worked at WMC Mortgage as a business development associate at the time of the submission of the loan applications for the first two properties involved in the scheme, and as an area sales manager at Countrywide Home Loans at the time of the submission of the loan application for the third property. In each case, Addison reviewed the loan application packages submitted by the mortgage broker, and counseled the mortgage broker as to how to structure the fraudulent loan packages to satisfy the lender underwriters examining the respective loan applications for the Marco Island properties.
After each of the closings for the Marco Island properties, the mortgage broker paid Addison $5,000.00, $10,000.00 and $3,000.00, respectively, for his assistance as a lender insider in obtaining approval for the three fraudulent loans. In each case, the straw buyers failed to make payments on the loans obtained as part of the scheme, causing each of the Marco Island properties to go into foreclosure and causing the lending institutions to suffer probable losses in excess of $900,000.
If convicted of the charges conspiracy to commit wire fraud and substantive wire fraud, the defendant faces a statutory maximum sentence of 20 years’ imprisonment.
mortgage fraud
I worked with this retard and can’t say I am surprised. According to George Bush, the feds are not going to go light on these greedy SOB’s that are helping to crumble our economy. I hope he gets what he deserves. Too bad his wife and 2 kids have to deal with the aftermath.
Posted by on 10/09 at 01:58 PM
I know this guy too, and he is no criminal, obviously made a couple poor decisons. Although if this happened a few years ago, he wouldn’t be in this situation. What he and his family need is support and prayers.
Posted by on 10/16 at 05:06 AM
This man was greedy thief and has been caught. He should be prosecuted and receive the maximum sentence allowed under the law.
Posted by on 10/17 at 10:49 AM
Post a Comment
The trackback URL for this entry is:
Trackbacks:
|
Some Sources require Registration.
Mortgage Fraud Risk Index Jumps 11 Percent, According to Verisk Analytics Subsidiary Interthinx
CNNMoney.com
The report...indicates that the overall Interthinx Mortgage Fraud Risk Index surged more than 11 percent from the previous quarter...
Mortgage Fraud Case Appears Headed to Jury in Jackson County Circuit Court
The Jackson Citizen Patriot - MLive.com
The prosecution and defense rested Thursday in the mortgage fraud cases against Teresa Marie WIlson and Angelo Surveo Williams.
Wyoming Woman Charged with Mortgage Fraud After Allegedly Stealing Sister's Identity
MLive.com
A Wyoming woman is facing felony charges accusing her of stealing her sister's identity to obtain a mortgage...then defaulting on that mortgage, leaving taxpayers on the hook.
U.S. Attorney Targets White-Collar Crime
Wall Street Journal
In San Francisco, Mr. Russoniello said he is trying to crack down on cases like mortgage fraud, though he doesn't have the budget to hire additional white-collar prosecutors.
Arrests Made in Orlando Mortgage Fraud Roundup
MyFoxOrlando.com
During the real estate boom two years ago, some units were going for a half million dollars. Now some are short selling for just 50 grand.
10 Accused of Mortgage Fraud at PR Coastal Resort
Forbes
A developer and nine other people, including a former salsa singer, have been charged in an alleged $14 million mortgage fraud in Puerto Rico...
Strodtman Jury Selected in Mortgage Fraud Trial
Greeley Tribune
Attorneys will deliver opening statements this morning in the trial of Mark Strodtman, who is accused of bilking homeowners in a mortgage scheme years ago.
FHA Digging Out After Loans Sour
Wall Street Journal
Most banks rejected Ms. DeForte because her debt level was too high and her credit score too low. But Lend America put Ms. DeForte into a $402,000 loan backed by the Federal Housing Administration...
Mortgage Fraud Probe Nets 105 Across State
Bradenton Herald
At least one local man is among 105 people arrested across the state following a nine-month investigation into organized mortgage fraud.
Mortgage Fraud Increases
MortgageRates.co.nz
The number of frauds involving professional advisors, such as accountants and lawyers, has increased from two to four since March 2008.
Previous Articles
|
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
|
|
|
|
|
|
|
|
|
|
|
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 
