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



Ex-Mortgage Broker Sentenced to Federal Prison for Mortgage Fraud Scheme

FBI Phoenix November 29, 2012
  • Special Agent Manuel Johnson (623) 466-1842

On November 26, 2012, Michele Marie Mitchell, 45, was sentenced by U.S. District Judge James A. Teilborg to a term of 30 months in federal prison, restitution of $110,490, and three years of supervised release. Mitchell pleaded guilty in April, 2012 to conspiracy to commit wire fraud.

Mitchell and an associate, Jeremy West Pratt, were indicted by a federal grand jury in June 2011. Pratt pleaded guilty in January 2012 to conspiracy to commit wire fraud and was sentenced by Judge Teilborg on July 30, 2012, to six months of imprisonment and three years of supervised release.

Mitchell held herself out to be a mortgage broker, loan officer, and real estate investor.

She did business at an office on East Vista Bonita Drive in Scottsdale. Pratt was the president of Arizona Cooling Control Plus Inc. and involved in construction and remodeling work. Mitchell and Pratt recruited people with good credit scores to act as straw buyers to ostensibly purchase one or more properties as investments. Mitchell and Pratt enticed the straw buyers by offering to pay a kickback of up to $15,000 per property or to make the mortgage payments until the property could be resold for a profit or both. In addition, the defendants submitted false loan applications and supporting documents to induce lenders to fund loans and at the close of escrow enriched themselves by directing a portion of the loan proceeds, or “cash back,” to a company which one of them controlled.

Between October 2005 and February 2007, Mitchell obtained mortgage financing for 17 properties and induced lenders to fund approximately $17 million dollars in loans. Pratt aided Mitchell’s efforts in eight of the 17 properties that are located in Glendale, Scottsdale, Surprise, Peoria, Goodyear, and Phoenix.

The defendants failed to make the mortgage payments as promised, and each of the 17 properties went into foreclosure.

The investigation was conducted by agents of the Internal Revenue Service-Criminal Investigation and the Federal Bureau of Investigation. The prosecution was handled by the United States Attorney’s Office.

source: 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



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 • November 29 2012 03:25PM


This blog does not allow anonymous comments