A Wisconsin resident is looking at being charged on six counts of federal charges after it was discovered that he was involved in a white collar crime scheme involving mortgage fraud in Milwaukee.
Prosecutors allege that man signed false paperwork regarding the value of properties, and paid buyers to purchase these properties at extraordinarily high prices. Lenders were unaware of the actual financial situation of the buyers and as a result, lost hundreds of thousands of dollars when several of the properties fell into foreclosure.
He is also suspected of using another man's identity to obtain a high-interest loan. Authorities suspect that the man convinced another gentleman to apply for a job as a property manager. However the other gentleman later learned that his information had instead been used to secure the loan.
This suspected mortgage fraud scheme is not the first time that the man has been suspected of involvement in white collar crime. He was put on probation and house arrest several years ago after being convicted of filing false tax returns. His probation was later revoked after he had violated his probation terms; he is currently in prison in Chicago.
If he is convicted of the recent mortgage fraud charges, he could be spending a very large portion of his remaining life in prison. His sentence may also include paying a number of fines. Being charged with any type of criminal charge can lead to serious consequences. Those who find themselves in this situation should speak with someone who can help them build a defense to protect their rights.
Source: Milwaukee Journal-Sentinel: "Felon who was mortgage broker is charged in mortgage fraud scheme," Cary Spivak and John Diedrich, Oct. 19, 2011