Virginia Man Admits Defrauding Homeowners and Lenders

Allison Tussey —  March 14, 2012 — Leave a comment

Philip Villasis, 41, Chesapeake, Virginia, pleaded guilty in federal court to conspiracy to commit wire fraud. Villasis faces a maximum penalty of 30 years in prison when he is sentenced on June 18, 2012.

Villasis‘ plea was accepted by United States District Senior Judge Robert G. Doumar. A federal grand jury previously indicted Villasis on January 19, 2012. Villasis‘ co-defendant, Ray D. Gata, previously pled guilty to the same charge on February 28, 2012.

As previoulsy reported by Mortgage Fraud Blog, from November 2006 until February 2011, Villasis and Gata engaged in a foreclosure rescue scheme that defrauded homeowners and mortgage lenders. Villasis promised homeowners that he could save them from foreclosure by arranging a sale of their homes to Gata and other straw borrowers. To further entice the homeowners, Villasis promised that they could remain in their homes after the sale and pay rent, and he would resell the homes back to them once they were more financially secure. Villasis and Gata profited from this scheme by taking all of the proceeds from the home sales.

To complete the scheme, Villasis and Gata executed false closing documents that showed the proceeds of the sale going back to the homeowners when, in fact, the proceeds were going to Villasis, Gata, and the other straw borrowers. The homeowners received nothing from the sale of their homes while Villasis, Gata, and others received in excess of $170,000. In almost every case, Villasis required the homeowners to pay more in rent to cover a larger mortgage, and ultimately evicted these homeowners from their homes.

Neil H. MacBride, United States attorney for the Eastern District of Virginia, and John Boles, supervisory agent in charge of the Federal Bureau of Investigation announced the guilty plea.

This case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Melissa E. O’Boyle is prosecuting the case on behalf of the United States.

Be Sociable, Share!

Allison Tussey

Posts Google+

No Comments

Be the first to start the conversation.

Leave a Reply

Text formatting is available via select HTML.

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>