Deirdre Daly, acting U.S. attorney for the District of Connecticut, said Daniel Monterio waived his right to indictment and pleaded guilty to one count of conspiracy to commit bank fraud, wire fraud and money laundering stemming from a mortgage fraud scheme.
According to court documents and statements made in court, from approximately May to October 2007, Monterio conspired with others to obtain residential mortgages through the use of false downpayments and hidden referral fees. Through the scheme, Monterio referred individuals to a co-conspirator who had purchased several residential real estate properties, many via the use of a private lender.
Subsequently, the individuals Monterio referred were then identified on mortgage documents as having purchased the properties from the defendant’s co-conspirator. However, the co-conspirator in this scam purchased the bank checks that were used as downpayments for each of the transactions.
Furthermore, the co-conspirator used the money obtained from the mortgages to pay private lenders and, sometimes, referral fees to Monterio.
Monterio is scheduled to be sentenced in August and faces a maximum prison term of five years, plus a fine of up to $250,000. As part of his plea agreement, Monterio has to forfeit $15,000.