Monday, March 24, 2008

Man Admits Role in Defrauding Mortgage Company

Michael Umali, 38, a.k.a.”Khadafi," pleaded guilty before New Jersey US District Judge Noel L. Hillman to one count each of conspiracy to launder money and money laundering. Umali’s co-defendant Reginald Greene, 47, a.k.a. ”Amin," who was a federal prisoner originally from Philadelphia at the time of the crime, is charged in all nine counts contained in the Indictment. Judge Hillman remanded the defendant to custody pending sentencing, which is scheduled for June 20, 2008.

At his plea hearing, Umali admitted that from July 2003 through December 2004 he agreed with Greene to open and maintain various checking accounts at M&T/Allfirst Bank. Umali admitted that he did so for the purpose of allowing Greene to deposit money gained through his scheme into those accounts in exchange for a portion of those proceeds. Umali admitted that in October 2003, Greene caused $500,478 to be deposited into two separate accounts under Umali’s control. Furthermore, Umali admitted that at Greene‘s direction he withdrew and distributed the deposited funds, via cash withdrawals, checks and wire transfers, to associates of Greene. Typically, the withdrawals were in amounts of less than $10,000 to avoid currency transaction reporting requirements. Umali admitted that the distribution of funds included a wire transfer on Oct. 8, 2003, in the amount of $50,000 to Reginald Greene, Jr., a.k.a. ”Duane Massey”, of Upper Darby, Pennsylvania.

The Indictment, which was returned on August 21, 2007, describes a scheme in which Greene and an unidentified Cendant Mortgage Corporation insider(s), attempted to cause 15 wire transfers that Cendant, now known as PHH Mortgage, directed to Sunbelt Title Agency to be misdirected to banks accounts controlled by their co-conspirators, including Umali. Seven of the 15 wire transfers, totaling approximately $845,000, were successfully misdirected. The successfully misdirected funds were transferred to the accounts of Umali and Dan Hutchinson Jr., 28, Washington, D.C., instead of Sunbelt Title Agency. Thereafter, the funds were transferred to the control and benefit of Greene, the unidentified individual(s), and their associates and relatives, including Greene‘s son.

Hutchinson and Greene, Jr., have pleaded guilty to their roles in the scheme and await sentencing. Greene is pending trial on the nine-count Indictment.

mortgage fraud

Post a Comment Name: Email: Location: Smileys Remember my personal information Notify me of follow-up comments? Submit the word you see below: The trackback URL for this entry is: Trackbacks: Previous entry: Search posts: Advanced Search --> Enter your Email Preview | Powered by FeedBlitz

Today's News

Some Sources require Registration.   Marco Island Man Arrested in Ohio on Grand Theft Charge Naples News A man who claimed he was a broker is accused of bilking a long-time family friend out of more than $130,000. 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. Previous Articles

TRIAL COVERAGE

Trial coverage provided by Anne Mitchell, Crazy Fish Realty. Follow Anne on Twitter. Thursday, February 18, 2010 F. Jeffrey Miller Trial - 1 Convicted, 3 Acquitted The jury deliberated for approximately 3 days after receiving their jury instructions. They asked one question: Does ‘common sense' allow us to deduce what the banks may or may not been influenced by in order to make a loan? Judge Julie Robinson responded by admonishing the jurors to read all of the instructions. The jury presented its' verdict... Read More... 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... Read More... 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... Read More... 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... Read More... 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... Read More... More Trial Coverage

What's Your Opinion?

ORDER NOW!!

Blog Roll

All Foreclosure Information and Resources Housing Storm Calculated Risk Mortgage Lender Implode-O-Meter Home Gain Blog Rain City Guide Real Estate Tomato Blood Hound Blog Appraiser Active Fraud, Phishing and Financial Misdeeds The Collar - US News and World Report Georgia Bankruptcy Blog Fighting Fraud Newsday Real LI Matrix