Michelle Austin-Wilks, 38, Parkland, Florida, was charged in an Information with four counts of wire fraud, in violation of Title 18, United States Code, Section 1343, for her participation in a mortgage fraud scheme. If convicted, Austin-Wilks faces up to thirty years’ imprisonment on each count.
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According to the Information, Austin-Wilks was President and Director of Direct Title & Escrow Services, Inc., Oakland Park, Florida. Austin-Wilks and others allegedly engaged in a scheme to enrich themselves by fraudulently buying and selling residential real estate property in Broward County, Florida, through straw buyers. These straw buyers obtained high value mortgages based on fraudulent mortgage loan applications and closing statements.
According to the Information, after the lenders approved the loans based on the false loan applications, Austin-Wilks prepared false HUD-1 Settlement Statements that, among other things, falsely represented to the lenders that the straw buyers were bringing their own money to closing. She also created and submitted duplicate HUD-1 Settlement Statements for the same real estate transaction to the mortgage lenders, reflecting different sales prices to the seller and to the lender. The lender’s version reflected a significantly higher purchase price than the seller’s version of the HUD-1 Settlement Statement.
After closing, the lenders wired a total of approximately $3 million in mortgage loan proceeds into Direct Title & Escrow‘s bank account, which was controlled by Austin-Wilks. Thereafter, defendant Austin-Wilks wire transferred $68,562 and $382,000, respectively, to a mortgage broker and a straw buyer for their assistance in the mortgage fraud scheme.
As previously reported by Mortgage Fraud Blog, the mortgage broker, Jinnie Mathurin, has pled guilty to one count of wire fraud and was sentenced on March 7, 2012 to one year and one day of imprisonment, three years supervised release and ordered to pay $1.17 million in restitution by U.S. District Judge Donald M. Middlebrooks. The straw buyer, Guhier Florvilus, also pled guilty to one count of wire fraud and is scheduled to be sentenced on May 17, 2012 before U.S. District Judge Daniel T.K. Hurley.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Paula Reid, Special Agent in Charge, United States Secret Service, Miami Field Office, and Florida Office of Financial Regulation, announced the charges.
Mr. Ferrer commended the investigative efforts of the U.S. Secret Service and Florida Office of Financial Regulation. Mr. Ferrer thanked the U.S. Marshal’s Service for their substantial efforts in locating defendant Austin-Wilks in Jamaica and returning her to United States to face charges. This case is being prosecuted by Assistant U.S. Attorney Randy Katz.
An Information is only an accusation and a defendant is presumed innocent until and unless proven guilty.
