California Real Estate Fraud Report

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26
Aug

3 Men Charged with Mortgage Fraud in Sacramento

Three men have been indicted by a federal grand jury on charges related to a mortgage fraud conspiracy in which lenders were defrauded out of $1 million.

The indictment charges Sean McClendon, 35, and Anthony Williams, 44, with buying four properties in the Sacramento area from Anthony Salcedo, 30. The two were paid kickbacks by Salcedo, which is illegal under the federal RESPA rules, and used straw buyers to make the purchases. In addition, McClendon, who was a loan officer, processed the loan paperwork and falsified the income and assets of the straw buyers in order to get the loans approved (loan fraud, mortgage fraud). The values were overstated (appraisal fraud) in order for the men to create false equity (equity skimming) and get their “referral fees” (the kickbacks).

The homes were subsequently foreclosed by the lenders.

Given the relatively small dollar amount of this fraud compared to other cases and the fact that the mortgage fraud occurred between 2005 and 2006, one wonders if the men thought they would escape detection and prosecution.

Read the original article in the Central Valley Business Times.

© Copyright 2007-2017 Monique Bryher

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The information and notices contained on The California Real Estate Fraud Report are intended to summarize recent developments in real estate fraud, mortgage fraud, short sale fraud, REO fraud, appraisal fraud, loan modification scams, loan modification fraud and other real estate related crimes occurring in Los Angeles and California. The posts on this site are presented as general research and information and are expressly not intended, and should not be regarded, as legal advice. Much of the information on this site concerns allegations made in civil lawsuits and in criminal indictments. All persons are presumed innocent until convicted of a crime. Readers who have particular questions about real estate fraud, mortgage fraud and appraisal fraud matters or who believe they require legal counsel should seek the advice of an attorney.

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