Tennessee Man Convicted In Mortgage Fraud Scheme

A Tennessee man was found guilty by a federal court on all 51 counts of an indictment charging him with conspiracy, wire and bank fraud, and money laundering in connection with a mortgage scheme involving 22 homes. According to investigators, Harold Stafford was at the center of a scheme involving the purchase of 22 luxury homes in Hendersonville, Gallatin and Goodlettsville using unqualified straw buyers. Stafford and his co-conspirators submitted false loan applications that overstated their income and lied about using the homes as primary residences. The group also hid other recent home purchases. All of the mortgages wound up in default and foreclosure, resulting in $2.21 million in losses to the lenders. Sentencing is scheduled for early May.