Monday, November 26, 2007
Mortgage Fraud Investigation Results in 3 Indictments
Harold Stafford, Miles Jackson Black and Jeffrey Dunn Hathcock were indicted by a federal grand jury for conspiracy, wire fraud and bank fraud. In addition, Harold Stafford was charged with money laundering.
The fifty-one count Indictment alleges that from January 2005 through October 21, 2005, Stafford, Black and Hathcock engaged in a mortgage fraud scheme that involved the purchase of approximately twenty-two luxury homes (see individual addresses below) in Hendersonville and Gallatin, Tennessee by unqualified straw buyers. Stafford, Black and Hathcock caused the submission to mortgage lenders of false mortgage loan applications that overstated the straw buyers’ income, falsely stated that the homes would be the straw buyers’ primary residences, and failed to disclose other recent home purchases by the same straw buyers.
If convicted, Stafford, Black and Hathcock each face up to 30 years in prison, a $1,000,000 fine, and supervision for up to five years. However, any sentence following conviction will be imposed by the Court after consideration of the U.S. Sentencing Guidelines and applicable federal statutes.
This case is being investigated by the United States Secret Service, the Internal Revenue Service Criminal Investigation Division and the 18th Judicial District Drug Task Force. The prosecution of this case is being supervised by Amul R. Thapar, United States Attorney for the Eastern District of Kentucky. Edward M. Yarbrough, United States Attorney for the Middle District of Tennessee has recused himself from this case due to his prior representation of an individual in matters related to this prosecution. The United States is represented in the case by Assistant United States Attorney Byron Jones.
Stafford, Black and Hathcock made their initial appearances before the United States Magistrate Judge today. Their next appearances before the United States District Court have not yet been set.
An indictment contains only charges and need not be supported by proof of guilt beyond a reasonable doubt. The defendant is presumed innocent and is entitled to a fair trial at which the United States has the burden of proving guilt beyond a reasonable doubt.
1143 Fairview Village Lane, Gallatin;
104 Dorr Drive, Goodlettsville;
107 Secretariat Lane, Hendersonville;
1134 Isaac Franklin Drive, Gallatin;
744 Plantation Way, Gallatin;
1015 Island Brook Drive, Hendersonville;
1033 Dorset Drive, Hendersonville;
1043 Dorset Drive, Hendersonville;
110 North Country Club Drive, Hendersonville;
1160 Fairvue Village, Gallatin;
1014 Island Brook Drive, Hendersonville;
139 Candill Drive, Hendersonville;
1047 Island Brook Drive, Hendersonville;
102 Kinwood Court, Hendersonville;
1028 Heathrow Drive, Hendersonville;
1232 Chloe Drive, Gallatin;
245 Hidden Valley Drive, Hendersonville;
112 North Country Club Drive, Hendersonville;
792 Plantation Way, Gallatin;
1583 Jacobs Drive, Gallatin;
1059 Isaac Franklin Drive, Gallatin;
100 Danwood Court, Hendersonville; all of Tennessee.
mortgage fraud
So how do you find out just what your mortgage broker received in TOTAL
COMMISSIONS? I think I got bagged by my broker on my last mortgage. Nothing seems to have turned out the way he told me it would. Perhaps he is guilty of mortgage fraud? How can I check it out? Thanks for your help.
Posted by on 11/27 at 03:43 PM
Rachel: I am a real estate agent who lives in Fairvue Plantation in Gallatin, TN. We have been greatly affected by this investigation since 2005. I have many people who are asking me about this. How can I learn more about the people involved and the case hearings? Can the public attend the Court hearings involved in this case? How can we find out when the hearings will take place and where?
Posted by on 12/02 at 08:12 AM
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Some Sources require Registration.
Mortgage Scam Ends with Prison
The Morning Call
A judge didn't hold back when Shirley Matthews appeared before him Tuesday to be sentenced for stealing from a Monroe County man instead of helping him save his home from foreclosure, as she was hired to do.
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Pocono Record
A New Jersey woman will be spending two to five years in state prison after she was sentenced on Tuesday for promising to help homeowners avoid foreclosure and then keeping the money she was given for their mortgages.
2 Indicted in Mortgage Scam Face New Charges
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Why did so many units go into foreclosure all at once? In some cases, the reason can be traced to mortgage fraud.
No Contest Plea Entered in Real Estate Fraud Case
Northbay Business Journal
Juan Carlos Alcala of Windsor pleaded no contest to nineteen felony counts and admitted three special allegations for defrauding real estate investors, money laundering and elder fraud.
Bedford Woman Sentenced to a Year in Prison for Mortgage Fraud
Plain Dealer
Sharon Cox, 49, of Bedford, was sentenced today to a year in prison for mortgage fraud involving money laundering, theft and receiving stolen property from August 2008 through March.
CITIZEN JOURNALISM: Mortgage Fraud High in Area
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According to the FBI, Virginia, Maryland and the District are among the top 10 jurisdictions experiencing mortgage fraud.
Former Vegas Resident Charged with Mortgage Fraud in Nevada
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A former Las Vegas resident has been charged with federal conspiracy and fraud charges for his involvement in a Nevada mortgage fraud scheme involving straw buyers and falsified mortgage loan documents...
Missouri Man Sentenced for Mortgage Fraud
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A suburban St. Louis mortgage company operator has been sentenced to more than 11 years in prison for a mortgage fraud scheme.
12-Year Prison Term in Mortgage Swindle
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A Maryland woman who stole millions from Washington area homeowners trying to avoid foreclosure is a "vulture" whose case should serve as a warning to other con artists...
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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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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 
