Former GMAC loan officer Penny O’Malley has pleaded no contest to a felony for obtaining money by false pretenses.
O’Malley’s step-mother Ellen Flores pleaded no contest to a misdemeanor in the same case. According to prosecutor Gordon Isen of the Kern County District Attorney’s Office, O’Malley convinced Flores to assist loan applicant Consuelo Herrera by falsely stating that Herrera worked at a liquor store Flores’ husband owned. Because of the additional income, the loan was underwritten in 2006 but defaulted in 2008.
Read the original article in the Bakersfield Californian.