David Saks: SIX INDICTED IN $25 MILLION MORTGAGE FRAUD SCHEME - DEFENDANTS INCLUDE TWO ATTORNEYS, LOAN OFFICER AND REAL ESTATE AGENT

David Saks - Real Estate Broker - The Real Estate Mart of Tennessee, Inc. - 4040 North Watkins-Suite #4 - Memphis, Tennessee 38127 - Phone (901) 357-4663

SIX INDICTED IN $25 MILLION MORTGAGE FRAUD SCHEME - DEFENDANTS INCLUDE TWO ATTORNEYS, LOAN OFFICER AND REAL ESTATE AGENT

Six Indicted in $25 Million Mortgage Fraud Scheme
Defendants Include Two Attorneys, Loan Officer, and Real Estate Agent

U.S. Attorney’s Office October 05, 2011
  • Eastern District of New York (718) 254-7000
 
A federal grand jury in Brooklyn returned a superseding indictment charging six defendants with a mortgage fraud scheme in which they fraudulently obtained over $25 million in loans.1
 
The indictment alleges the defendants conspired to defraud financial institutions, including Countrywide Financial, Fremont Investment and Loan, IndyMac Bank, National City Corporation, Sun Trust Mortgage, Inc. and Wells Fargo & Company, and wholesale mortgage lenders, including Lend-Mor Mortgage Bankers Corporation, Mortgage Lenders Network USA, and New Century Mortgage Corporation.
 
Attorneys Matthew Burstein and Aaron Rabinowitz, real estate agent Elias Compres, loan officers Arturo Giraldo and John Constantinides, together with Rolando E. Roldan, are charged with conspiracy to commit bank and wire fraud; Burstein, Compres, Rabinowitz, and Roldan are also charged with wire fraud.

The superseding indictment was announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York;, Janice K. Fedarcyk, Assistant Director in Charge of the Federal Bureau of Investigation, New York Field Office; Jon T. Rymer, Inspector General, Federal Deposit Insurance Corporation; and Kevin Chan, Acting Special Agent in Charge, Department of Housing and Urban Development, Office of Inspector General. The defendants’ initial appearances and arraignments are scheduled later today before United States Magistrate Judge Robert M. Levy, at the U.S. Courthouse, 225 Cadman Plaza East, Brooklyn, New York. The case has been assigned to United States District Judge Allyne R. Ross.

As detailed in the superseding indictment, from January 2001 to July 2010, the defendants obtained mortgage loans from lending institutions through fraudulent means, including submitting false loan applications to make borrowers appear more creditworthy—enabling the defendants to profit from commissions and loan fees—and by preparing documents, such as HUD forms, designed to deceive the lending institutions about the disbursements made at closings. In many instances, the purchasers subsequently failed to make mortgage payments to the lending institutions, and the loans are now in default.

“Our real estate markets rely on the integrity of its members,” stated United States Attorney Lynch. “For almost a decade, these defendants allegedly used a trail of false documents and broken promises to enrich themselves to the tune of millions. We will vigorously investigate and prosecute those—including attorneys and other licensed professionals—who compromise positions of trust and perpetrate mortgage fraud.” Ms. Lynch extended her grateful appreciation to the agencies that participated in this investigation.

FBI Assistant Director in Charge Fedarcyk stated, “These defendants include attorneys with ethical as well as legal responsibilities, and loan officers with fiduciary responsibilities. What all the defendants allegedly have in common is a willingness to flout these responsibilities—and the law—to line their pockets. The FBI remains determined to police and prevent mortgage fraud.”

FDIC Inspector General Rymer stated, “We are once again pleased to join our law enforcement colleagues in defending the integrity of the financial services industry by combating mortgage fraud. We are particularly concerned in cases like this one where attorneys and other professionals have allegedly misused their positions of trust and whose charged fraudulent activities in committing mortgage fraud may have contributed to a loss to the Deposit Insurance Fund. We are committed to continuing our investigations of criminal misconduct to help maintain the safety and soundness of the nation’s financial institutions and the viability of the Fund.”

HUD/OIG Acting Special Agent in Charge Chan stated, “This investigation demonstrates HUD/OIG’s commitment to working with our law enforcement partners and the U.S. Attorney’s Office to protect the integrity of FHA assets. Mortgage fraud strikes at the economic heart of the American system, and we are committed to uncovering and prosecuting such criminal activity.”

The maximum term of imprisonment for any defendant convicted of conspiracy to commit bank and wire fraud is 30 years. The indictment also seeks forfeiture of the proceeds of the defendants’ crimes, including a criminal forfeiture money judgment and proceeds traceable to the offenses.

The government’s case is being prosecuted by Assistant United States Attorney Alexander A. Solomon.

The Defendants:

MATTHEW BURSTEIN Age: 40

ELIAS COMPRES Age: 52

JOHN CONSTANTINIDES Age: 39

ARTURO GIRALDO Age: 41

AARON RABINOWITZ Age: 40

ROLANDO E. ROLDAN Age: 35

1 The charges announced today are merely allegations, and the defendants are presumed innocent unless and until proven guilty.

Courtesy FBI



David Saks



Time&Temp Memphis

Legal Disclaimer
Please be advised that:

 The information and notices contained in this blog are intended to summarize recent developments and news. The posts are presented as general research and information. These posts are not intended, nor should be regarded, as legal advice. Some blog posts concern allegations made in civil lawsuits and in criminal indictments in United States Courts. All persons are presumed innocent until convicted of a crime and proven guilty. Readers who have particular questions or who believe that they need legal counsel should seek the advice of a qualified attorney. It is neither the editor's or author's intention to create a confidential relationship or any broker-client relationship via communication from this site at any time. Please consult with your state real estate board if questions & answers in the education section conflict with the laws of your region or if you need clarification regarding their applicability or how they may govern the services that you provide.

By entering this web site, you understand the following:
When you select a link to an outside Web site, you are subject to the privacy, copyright, security, and information quality policies of that Web site. David Saks:
1.DOES NOT control or guarantee the accuracy, legality, relevance, timeliness, or completeness of information contained on a linked Web site;
2.DOES NOT endorse linked Web sites, the views they express, or the products/services they offer unless linked web sites, the views they express, or the products/services they offer endorse or support David Saks in accordance with the standards of the Tennessee Real Estate Commission and the Federal Government's laws regarding commerce and the application, solicitation and transmission of internet-related concerns, commerce or social networking;
3.CANNOT authorize the use of copyrighted materials contained in linked Web sites;
4.IS NOT responsible for transmissions users receive from linked Web sites;
5. That DavidSaks.Com is biographical & real estate related. Some links within will leave this site.
6. http://activerain.com/profile/davidsaks is internet-compliant & abides by the rules & regulations of the Tennessee Real Estate Commission, Eve Maxwell, Executive Director.
7. Unless indicated otherwise, ActiveRain does offer listings, or IDX and is provided for licensed salespersons, brokers, buyers & sellers of real property as a community & professional service.
8. David Saks is a retired / licensed real estate broker in the State of Tennessee, license #290452, and an independent contractor.
9. Information is believed to be accurate, but not guaranteed, at any realty link or document connected to the World Wide Web & viewable by anyone connected to the internet who has a web browser.
10. Brokers, buyers, sellers, agents & anyone should independently verify any information prior to submitting any offer to purchase goods & services from any link.
11. Please Visit The American Real Estate Alliance or Memphis.8k.Com for additional information regarding property issues for real estate professionals and consumers.

 

Photos © & Licensed by Nova Development

All Content Protected © 
Before you even think about
committing a real estate crime
click this red button.
Real Estate Crimes

© All Rights Reserved.

 

 

 

 

"Information generated by the Department of Justice is in the public domain and may be reproduced, published or otherwise used without the Department’s permission. Citation to the Department of Justice as the source of the information is appreciated, as appropriate."

Department of Justice Legal Policies


 

  Real Estate Crimes

 

Click "HERE" For Today's Question

 

 

TheListen Now!

David Saks Show

Saturday Nite

9pm-12am Central

University of Memphis

WUMR

 

Support
America's Hobby

Click Elvis

Mr.Saks' participation in ActiveRain ended April 13, 2015.

His blog archives will remain online.

May God bless you.

Comment balloon 0 commentsDavid Saks • October 05 2011 02:30PM

Comments

This blog does not allow anonymous comments