The former president of Home Free Realty Inc was sentenced yesterday to serve 51 months in prison for committing two separate real estate fraud schemes.
The Long Island, N.Y.-based company provided foreclosure related real estate services.
In one scheme, Elviston Ramasir stole approximately $1.5 million from an investor claiming to purchase foreclosed properties and resell them at a profit. According to court documents, the defendant falsely represented that these sales would yield a 40% profit on the initial investment typically within 90 days.
After receiving $2 million from the investor between June 2008 and December 2009, the defendant claimed to use the money to become the owner of 38 properties in Brooklyn and Queens. However, 37 of the properties either did not exist or were owned by others who had no affiliation with the defendant.
Instead, the defendant used nearly $1.5 million of the investor’s funds for personal gain, including transferring over $600,000 to a bank account, making payments for a Mercedez-Benz, credit card debt and student loans, airfare, residing in luxury hotels and getting cosmetic surgeries for himself and others.
After being released on bail after the first scheme, the defendant conducted additional fraud from June 2010 through October 2010.
In this scheme, he used Craigslist to solicit renters for two properties that he owned using an alias of “Ryan Rameriz.” He collected payments of thousands of dollars from prospective tenants without having the intention of letting the individuals move into either home.
“Elviston Ramasir was a brazen and unapologetic fraudster, running an online rental scam while facing criminal charges for an earlier real estate scheme,” said Preet Bharara, U.S. Atttorney for the Southern District of New York. “Now, he will be behind bars and prevented from swindling any more unsuspecting victims.”
Besides the prison term, the defendant was sentenced to three years of supervised release and has to pay more than $1.4 million in restitution.
