Ridgefield, Washington Man Admits Participation In Mortgage Fraud Scheme
Portland, Ore. – United States Attorney Karin Immergut today announced that Jeremy
Richardson, 31, Ridgefield, Washington plead guilty to money laundering in United States
District Court in Portland Oregon. The plea follows a joint investigation by the Federal Bureau
of Investigation (FBI) and the Internal Revenue Service (IRS) of a mortgage fraud scheme
devised and carried out by Richardson during 2007.
During the plea hearing today before the Honorable Judge Anna J. Brown, Richardson
admitted that he advertised and solicited persons interested in buying real estate, either to live in or as an investment. If an investor was not able to qualify for the necessary mortgage financing, Richardson would falsify the buyer/investor qualifications and information provided to the lender. If the home was being purchased as an investment, Richardson would advertise for
persons interested in participating in a “rent to own” program to live in the home purchased by
the investor.
Richardson admitted that he inflated the property transaction price on certain transactions
in order to get extra money to use to pay business expenses including required mortgage
payments on purchased real estate. He created false invoices purporting to represent repairs
performed on certain properties in support of the falsely inflated prices. He also induced some
customers to advance him money which he represented would be used to make a down payment
on certain properties, but which he instead used to pay personal and business expenses.
He used interstate wire transmissions to communicate and advertise, and for transfers of
funds to carry out the scheme, including a $50,000 transfer from a Wells Fargo bank account
belonging to a victim investor in California, to a Bank of America account in Portland Oregon he
controlled. Evidence indicated that Richardson’s scheme involved real estate financing
transactions on as many as 90-100 residential properties.
Money laundering carries a maximum penalty of 10 years in prison, a $250,000 fine and
up to three years of supervised release. The plea agreement in Richardson’s case calls for a
sentence of 37 months in prison in addition to payment of full restitution. Judge Brown
scheduled the sentencing hearing on January 5, 2009 at 9:30 a.m.
The Richardson prosecution is part of Oregon’s participation in “Operation Malicious
Mortgage,” a nationwide effort to investigate and prosecute mortgage fraud. It highlights the
significant threat posed by mortgage fraud for federally insured and uninsured lenders and the
ongoing law enforcement response.
Portland, Ore. – United States Attorney Karin Immergut today announced that Jeremy
Richardson, 31, Ridgefield, Washington plead guilty to money laundering in United States
District Court in Portland Oregon. The plea follows a joint investigation by the Federal Bureau
of Investigation (FBI) and the Internal Revenue Service (IRS) of a mortgage fraud scheme
devised and carried out by Richardson during 2007.
During the plea hearing today before the Honorable Judge Anna J. Brown, Richardson
admitted that he advertised and solicited persons interested in buying real estate, either to live in or as an investment. If an investor was not able to qualify for the necessary mortgage financing, Richardson would falsify the buyer/investor qualifications and information provided to the lender. If the home was being purchased as an investment, Richardson would advertise for
persons interested in participating in a “rent to own” program to live in the home purchased by
the investor.
Richardson admitted that he inflated the property transaction price on certain transactions
in order to get extra money to use to pay business expenses including required mortgage
payments on purchased real estate. He created false invoices purporting to represent repairs
performed on certain properties in support of the falsely inflated prices. He also induced some
customers to advance him money which he represented would be used to make a down payment
on certain properties, but which he instead used to pay personal and business expenses.
He used interstate wire transmissions to communicate and advertise, and for transfers of
funds to carry out the scheme, including a $50,000 transfer from a Wells Fargo bank account
belonging to a victim investor in California, to a Bank of America account in Portland Oregon he
controlled. Evidence indicated that Richardson’s scheme involved real estate financing
transactions on as many as 90-100 residential properties.
Money laundering carries a maximum penalty of 10 years in prison, a $250,000 fine and
up to three years of supervised release. The plea agreement in Richardson’s case calls for a
sentence of 37 months in prison in addition to payment of full restitution. Judge Brown
scheduled the sentencing hearing on January 5, 2009 at 9:30 a.m.
The Richardson prosecution is part of Oregon’s participation in “Operation Malicious
Mortgage,” a nationwide effort to investigate and prosecute mortgage fraud. It highlights the
significant threat posed by mortgage fraud for federally insured and uninsured lenders and the
ongoing law enforcement response.
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1 comment:
As far as subprime mortgages the statistics agree that there was Predatory Lending and Mortgage fraud. nomedals.blogspot.com
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