An Atlanta real estate investor who tried to get out of nearly $2.2 million in mortgage debt by pretending to short sale the homes has been sentenced to more than three years in prison. The investor, who was facing foreclosure on 14 properties, claimed that he was using short sales to move the properties. In reality, however, he had stolen and forged 7 new identities and planned to rent out the homes at rates far surpassing their new, drastically-reduced monthly mortgage payments.
The fraud was exposed through a “sting operation” conducted by the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) and the FDIC.
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Good they he was caught hopefully this will happen to all
fraudsters!
That’s funny and illegal. However, I have to ask the question of whether it is any more wrong than the thievery going on in the banking industry and on Wall Street.
Now he get’s a room without a view at one heckuva steep rack rate…. but at least if he’s in prison he can’t do his deeds to give the rest of us a bad name……
What is the name of the man? I assume this is in the news, but I have not checked.
Anyone stupid enough to think fraud has any place in real estate should be in prison, including many of the people who call themslelves realtors.
This article is small time news, no reason to have it in this blog.
I am betting we will hear much more about these types of moves by Real Estate Investors and also Real Estate owners. One of the biggest reason is that the Modification process is not working, so some owners figure the only have one option, short sale, and if they can’t move the property in that time, why not create a situation where they can sell the property, and still control it?.
It is amazing what people will try to get away with.
Well, I guess you can say “Monkey see, Monkey do”. It appears as though everybody seems to think that since the Real Estate and Mortgage Brokerage industries and the Banking industry got away with fraud, that they should be able to as well. When will it end? When will these types of idiots realize that fraud hurts everyone. Sheesh!!!!!!!!!!!
Cool. Finally a little well-deserved justice in an all-to-corrupt system.
He should have known, only members of congress and the president’s staff can get away with that!
Which state of it? In California, I think only the primary resident is easy to do short sale, not investment property of investor. You do have to show hardship and financial statement to lender. Please correct me.