According to court records, after loan applications were approved for funding, the loan proceeds were wire transferred in interstate commerce to designated accounts with various banks in Louisville, Kentucky, whereby the defendants and other unnamed co-conspirators appropriated, for their personal benefit and gain, portions of the fraudulently obtained loan proceeds.
The Louisville grand jury returned a second charge in the superseding indictment against Little and another defendant charging them with conspiracy to commit bank fraud in a separate but similar fraudulent scheme against various banks and commercial lending companies. They submitted applications and other documents for automobile loans which contained false and fraudulent information, including borrower’s employment, income and assets, and identity of the seller of the vehicle.
To date, all six defendants have entered guilty pleas with the court, and two defendants, including Little, have been sentenced. Stephen Netherton was sentenced on April 6, , to serve 24 months in federal prison, concurrent to his state sentence, and ordered to pay restitution in the amount of $874,100. (ysattywdky112312)
Notice how the persecutors went back six years to 2006 for the fraud loans. Remember, they have 10 years to indict.
OHIO WOMAN GETS OVER TWO YEARS IN FEDERAL PRISON FOR MORTGAGE FRAUD
Antoinette Payne was sentenced to more than two years in prison for a mortgage-fraud scheme that resulted in a loss of more than $1 million. She was sentenced to 27 months in prison and ordered to pay more than $1.3 million in restitution. She previously pleaded guilty to one count each of conspiracy to commit wire fraud and conspiracy to commit money laundering in connection with a mortgage fraud scheme to defraud various lenders.
Payne worked as a mortgage broker and loan officer for Supreme Funding and was also the owner of TLC Properties and Designer Loan Properties, which were sham companies that she used to receive kickbacks and reimbursements for undisclosed down payment assistance she was providing to purchasers from the various loans’ closings she was handling.
These funds were in addition to the fees paid to Payne as a mortgage broker and loan officer in handling these transactions. Payne recruited purchasers for properties and promised to pay them money for filling out the paperwork for a mortgage loans where the price of the properties had been greatly inflated. She also provided any down payments as necessary.
To accomplish this, Payne sometimes drew money out of her TLC bank account and purchased official checks made payable to the title company as purported down payments by purchasers. Payne also falsified the income and asset on the loan documents of the purchasers she recruited to ensure their approval. She provided phony lists of improvements to the lender to support inflated the price of the real estate, according to court documents.
Once the purchasers stopped making payments on the mortgage loans, the properties went into default, resulting in a loss to lenders in the amount of approximately $1 million, according to court documents. (usattyndoh112912)
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