Ten Indicted in Alleged $3 Million Fraud Scheme

Ten people have been indicted in an alleged $3 million mortgage fraud scheme to scam lenders by recruiting straw buyers to purchase homes in Kansas and Missouri. According to Lanny Welch, U.S. attorney for the District of Kansas, Eric M. Rabicoff, Jason L. Rabicoff, Lucas R. Collier, Anthony E. Carollo, Deborah Saulmon, Bora Ly, Anthony "Gabe" Painton Jr., Kong Bun Ly, Rebecca Gelwix and Richard Ngek have been indicted for their alleged roles in the scheme. According to the indictment, in 2006 Eric Rabicoff allegedly devised a scam to defraud lenders by recruiting straw buyers to purchase homes that were for sale by owners. It was part of the alleged scheme to submit false information to lenders so that borrowers received loans for which they were not qualified. The conspirators allegedly submitted false information to lenders about borrowers' employment history, income and rent history and obtained more than $3 million in loans for borrowers who did not in fact qualify for the loans. The defendants were unavailable for comment.