Monday, October 31, 2005

Six Charged by Information in Mississippi Mortgage Fraud

Six more people were charged by information in connection with a $3M mortgage fraud scheme in Mississippi that resulted in the indictment of four individuals earlier this year. 

Those charged were: 

John William Emory, III, mortgage broker, Ridgeland, Mississippi

Bobby F. Fisher, attorney, Greenwood, Mississippi

Jimmie L. Pruett, real estate agent, Greenwood, Mississippi,

Daniel Floyd

Joni Lynn Goss

Ernest Wayne White, Jr. 

Emory was charged by information with one count of wire fraud and one count of money laundering.  Emory worked as a mortgage broker in Hinds County, Mississippi for various companies including Wholesale Mortgage, Inc. and Mississippi Mortgage, Inc.  From June 200 through October 2002 the information alleges that Emory and other affiliated mortgage brokers would seek out prospective borrowers and try to qualify them for a home mortgage- typically one that the borrower could not afford.  Emory and the other brokers would obtain the basic information from the borrower would either personally enter false information on the loan application forms or would direct others to do so.  Emory and others would prepare or obtain false documents that would be submitted to the lender to support the false information on the loan application, including false VODs, VORs and VOEs.  Also according to the information, knowing that the borrowers were unable to afford a down payment, Emory and others would falsely list on the application that the borrower would provide cash at close or had down payment funds and on occasion would provide a false and fraudulent VOE purporting to be from the borrower’s bank.

Fisher was charged by information with one count of conspiracy to defraud and one count of engaging in monetary transactions in property derived from unlawful activity. Fisher was an attorney licensed to practice in Mississippi and engaged primarily in the business of closing real estate loans.  According to information, beginning in September 1999, in Hinds County, Mississippi, Fisher and others worked closely with numerous mortgage brokers to obtain loans for borrowers through various lenders.  They are alleged to have caused false and fictitious documents to be created to ensure that the mortgage loans would be granted and to have converted some of the proceeds for their own use and benefit. The false documents are alleged to have included false VODs, VORs and VOEs.  Fisher and others were also alleged to have made false entries on loan applications consistent with the false documents.  The information alleges that they obtained loans for approximately 48 borrowers totaling over $2.5M by creating false documents and making false entries on documents submitted to lender.

Pruett was charged by information with one count of conspiracy to defraud and one count of engaging in monetary transactions in property derived from unlawful activity. According to the information, beginning in February 2000, Pruett and others would find borrowers to purchase homes and would solicit mortgage brokers to obtain mortgage loans for the borrowers through various lenders.  They are alleged to have caused false and fictitious documents to be created to ensure that the mortgage loans would be granted and to have converted some of the proceeds for their own use and benefit. The false documents are alleged to have included false VODs, VORs and VOEs.  Pruett and others were also alleged to have made false entries on loan applications consistent with the false documents.  The information alleges that Pruett and others succssfully obtained loans for approximately 17 borrowers totaling over $800,000 by creating false documents and making false entries on documents submitted to lender.

Floyd was charged by information with one count of failure to report mail fraud and wire fraud.  According to media reports, Floyd was an employee of Fisher.

Goss was charged by information with engaging in a monetary transactions in criminally derived property of a value greater than $10,000.  The information alleges that she issued a check for over $30,000 in funds derived from a specified unlawful activity.  According to media sources, she operated a mortgage company with her ex-husband.

White was charged by information with engaging in a monetary transactions in criminally derived property of a value greater than $10,000.  The information alleges that, in April 2001, he issued a check for over $30,000 in funds derived from a specified unlawful activity.

According to media sources, prosecutors said the defendants are cooperating and have agreed to waive formal indictment and plead guilty. Each faces a maximum penalty of 30 years in prison and a $1 million fine.

mortgage fraud

1. KEEP UP THE GOOD WORK!! MY HUSBAND AND I HAVE DEALT WITH PEOPLE ALL SUMMER TRYING TO PULL THEIR SCAMS. IT IS VERY SAD.

   Posted by  on  11/07  at  02:04 PM