Pennsylvania real estate agent sentenced for fraud

A Hazleton, Pa., real estate agent who admitted bilking home buyers out of hundreds of thousands of dollars through bogus property sales was sentenced Thursday to serve more than four years in federal prison.

Ignacio Beato, 47, pleaded guilty in May to a felony count of wire fraud conspiracy alleging that from December 2013 through March 2015 he conspired with others to accept $751,082 from people who wanted to buy homes. Prosecutors say Beato was falsely telling the buyers he was authorized to sell vacant and foreclosed properties in Hazleton.

The charges alleged that Beato and his co-conspirators signed fraudulent sale agreements with prospective buyers in New York and other states. Some of the buyers were unaware of the fraud until they were served eviction notices at the homes they thought they had purchased.

U.S. District Judge James M. Munley imposed the sentence Thursday, ordering Beato to serve four years and three months in prison followed by a period of supervised release. Beato, who previously forfeited $35,000 that was seized from his bank accounts, was ordered to pay $65,000 in restitution.

According to the U.S. Attorney's Office, the low restitution amount is because some of the victims couldn't be found and others are seeking to recoup their losses in court.

Eight victims have filed a federal lawsuit against Beato. Case documents describe how he accepted large sums of money for houses he was not authorized to sell. In some cases, the buyers — who are mostly Spanish-speaking, first-time home buyers — only learned they had been duped after the moving into their new homes and being informed by the true owners they were improperly occupying the properties.

In addition to Beato, the lawsuit targets companies with which he was allegedly affiliated, including Weichert Realtors-Trademark in Shavertown, Pa.; Poggi Realtors in Forty Fort, Pa.; Home Services of America Inc. of St. Paul, Minn.; Berkshire Hathaway Home Services of Minneapolis; Greater Hazleton Association of Realtors and Toma Abstract Inc. of Hazleton.

The businesses have not returned messages seeking comment.

The Real Estate Commission in May revoked Beato's real estate license "for engaging in conduct in a real estate transaction which demonstrated bad faith, dishonesty, untrustworthiness, or incompetence and failing to deal honestly and in good faith."

Tribune Content Agency
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