Entries in Ohio (156)

11:31AM

Toledo Woman Charged in Home Loan-Modification Scheme 

A two-count criminal information was filed charging Toledo woman with participating a fraudulent home loan modification conspiracy, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.

[FBI Press Release]

Constance Kanary, 52, was charged with one count of conspiracy to commit mail fraud and one count of mail fraud. Kanary operated a purported loan-modification operation called Making Home Affordable USA (MHAUSA) from March 2012 through April 2013. The business was primarily located at 120 10th Street in Toledo and used other names, including Federal Home Savings Solutions, National Mortgage Relief Center, and others, according to the information.

Kanary was a sales agent at the company. As part of her job, she contacted homeowners in need of loan modifications and encouraged them to participate in the company’s “Home Saver Program” in which they were told to stop paying their mortgages and instead pay a percentage to MHAUSA to demonstrate they could reliably make reduced monthly payments. The participants were also told there was a flat fee, between $495 and $795, for the service, according to the information.

Kanary deposited these monies into an account at Bank of America and spent the money on the scheme’s expenses and made cash withdrawals from the account, according to the information.

If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.

The investigating agency in this case is the Federal Bureau of Investigation, Toledo, Ohio. The case is being handled by Assistant United States Attorney Gene Crawford.

An information is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

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11:17AM

Three Ohio men sentenced in foreclosure rescue scam

Adam P. Moellers, 35, of Mason, Ohio, was sentenced to 36 months in prison, and Gary P. Dailey, aka Gary Klump, 33, of Covington, Kentucky, was sentenced to 21 months in prison in U.S. District Court today for engaging in a foreclosure rescue scheme through a company called American Equity Group (AEG). A third defendant, Perry Bensick, 37, of Monroe, Ohio, was sentenced on May 21 for his role in the scheme to a year and a day in prison. Each will be placed under court supervision for three years after their prison terms end.

Carter M. Stewart, United States Attorney for the Southern District of Ohio; Ohio Attorney General Mike DeWine and Kevin Cornelius; Special Agent in Charge, Federal Bureau of Investigation, Cincinnati Field Division (FBI), announced the sentences imposed by U.S. District Judge Michael Barrett.

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2:40PM

Akron (OH) man sentenced, ordered to repay $15 million in two mortgage fraud schemes

An Akron man was sentenced to more than three years in prison and ordered to pay more than $15 million in restitution for his role in a mortgage fraud scheme in Florida and a separate scheme to defraud two elderly investors, said [press release] Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.  Andrew D. Norman, 36, previously pleaded guilty to conspiracy to commit bank fraud, conspiracy to commit wire fraud and filing a false tax return.

Norman and his business partner Jason Herceg conspired with Jack Coppenger in procuring “straw buyers” and submitting false loan documents to banks to purchase Coppenger’s lots in Florida (which had already been inflated in value as part of a land flip) in a mortgage fraud scheme.  Coppenger, with assistance from Norman and Herceg, perpetrated a large mortgage fraud scheme involving numerous straw buyers, who essentially sold their good credit score to Coppenger, in order for him to secure loans, through straw buyers’ names, for property in Florida, according to court documents. 

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10:38AM

Ohio AG files suit against a Toledo loan modification company

Ohio Attorney General Mike DeWine today announced [Press Release] a lawsuit against N.M.M.S.R. Incorporated, doing business as Making Home Affordable USA, and its owner Jason Keating of Maumee. The Lawsuit charges Keating and his business with multiple violations of Ohio’s consumer laws. 

“Too many consumers have lost thousands of dollars, or even their homes, because of loan modification services that did nothing to help them,” DeWine said. “We are continuing to target foreclosure relief businesses that mislead consumers, and we will continue to take action when we find them.”
 
Making Home Affordable USA is located at 120 10th Street in Toledo. It offers loan modification and foreclosure assistance services through its “National Mortgage Modification Stimulus Home Saver Program.” Although the business’ name and website closely resemble that of the federal government’s Making Home Affordable program, Making Home Affordable USA is not associated with the federal government. 

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4:26PM

Disbarred attorney indicted in Ohio real estate fraud allegation

In the following press release Ohio Attorney General Mike DeWine and Hamilton County Prosecutor Joseph Deters announced today the indictment of a disbarred attorney who allegedly stole more than $400,000 from an 83-year-old woman from Morrow, Ohio. William G. Goetz, of Cincinnati, was indicted Tuesday by a Hamilton County grand jury on two counts of Theft from the Elderly, two counts of Money Laundering, and one count of Tampering with Records. If convicted, Goetz faces a maximum of 31 years in prison.

“Prosecutor Deters and I both believe that we need to prosecute those who prey on the elderly,” said Attorney General DeWine. “The amount of money that this man allegedly stole from the victim is staggering.” 

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11:41AM

Three sentenced in Ohio for mortgage fraud involving Arizona properties

Cameron Green, 36, of Pickerington, Ohio was sentenced to 12 months and one day in prison, three years of supervised release, and ordered to pay $6,115,965 in restitution, jointly and severally with Jason Simcox and Kevin Simcox, to the victim mortgage lenders for fraudulently obtaining approximately $15,037,421 in mortgage loans to finance the purchase of 26 real estate properties in Maricopa County, Arizona.

Carter M. Stewart, United States Attorney for the Southern District of Ohio, Edward J. Hanko, Special Agent in Charge, Federal Bureau of Investigation (FBI), and Darryl Williams, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS) announced  the sentence handed down today by U.S. District Judge Michael Watson.

On January 9, 2013 Jason Simcox, 39, of Pickerington, Ohio was sentenced by Senior U.S. District Judge George C. Smith to 12 months and one day in prison, three years of supervised release, and ordered to pay $6,115,965 in restitution, jointly and severally with Cameron Green and Kevin Simcox, to the victim mortgage lenders.

According to court documents, between August 2006 and May 2007, the two men applied for loans using false income, assets, and occupancy statements on the loan applications. The mortgage loans were inflated to allow Simcox and Green to use the excess mortgage proceeds to generate cash kickbacks payable to co-conspirators that were undisclosed to the mortgage lenders. The co-conspirators then provided the money to Simcox and Green via interstate wire transfers.

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11:46AM

Ohio woman indicted by Grand Jury on mortgage and tax fraud charges

A federal grand jury here has indicted Regina Shields, 40, of Cincinnati, Ohio charging her with scheming to file false claims for federal income tax refunds with the Internal Revenue Service (IRS), as well as wire fraud and money laundering in connection with a mortgage fraud.

Carter M. Stewart, United States Attorney for the Southern District of Ohio and Darryl Williams, Special Agent in Charge, Internal Revenue Service Criminal Investigation, Cincinnati Field Office, and Edward J. Hanko, Special Agent in Charge, Federal Bureau of Investigation (FBI) announced the indictment unsealed today following her arrest.

The indictment charges Shields with four counts of filing false claims for federal income tax refunds with the IRS, one count of wire fraud, and one count of money laundering.  In addition, the indictment contains two forfeiture allegations, one of which calls for the forfeiture of $141,491 relative to the wire fraud that was charged in this case.

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11:48AM

Two plead guilty in Ohio mortgage fraud case

Gordon L. Yocom, 44, of Dublin, Ohio pleaded guilty to conspiracy to commit money laundering for fraudulently obtaining a mortgage loan to finance the purchase of a real estate property in Powell, Ohio.  Yocom agreed to forfeit $119,000, which represented the proceeds of this transaction.

Carter M. Stewart, United States Attorney for the Southern District of Ohio, Darryl Williams, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS), and Edward J. Hanko, Special Agent in Charge, Federal Bureau of Investigation (FBI), announced Yocom’s plea which was entered today before U.S. District Judge Michael Watson.

According to court documents, Yocom owned and operated a mortgage brokerage business called Gordon Lending.  Yocom and an employee of his, Nancy Rayfus, worked to arrange for a buyer to purchase a property located at 10577 Durham Place in Powell, Ohio.  The buyer was from California, but it was Rayfus’ intent to reside at the property.  The purchase contract was negotiated so Rayfus could obtain substantial cash payments at closing through the submission of two false invoices.  Yocom knowingly provided funds to Rayfus in the amount of $123,500 for the purpose of funding the majority of the down payment for the purchase this property.  Yocom purchased two official checks out of accounts that he controlled.  The checks were made payable to Landsel Title.  Yocom disguised the fact that he was the one providing the funds by having the bank place a variation of purchaser’s name as the remitter on each of the checks.

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