Inspector General’s Report Faults DOJ’s Efforts against Mortgage Fraud

If you believe that the U.S. Department of Justice has been lax in its efforts to bring to justice those responsible for the rampant mortgage fraud that greatly contributed to the 2008 financial crisis, you are in good company. The Inspector General for DOJ has issued a report critiquing the Department’s efforts to investigate and […]

DOJ and JP Morgan Chase Nearing Agreement on $13B Mortgage Fraud Penalty

Numerous reports state that the U.S. Department of Justice and JPMorgan Chase are nearing agreement on a civil settlement requiring the bank to pay $13 billion in penalties, fines, and compensation for the bank’s involvement in mortgage fraud stemming from the financial panic of 2008. The amount reportedly breaks down into three categories.  First, there […]

Executive Pleads Guilty in Mortgage Fraud Case

Raymond Bowman, former president of Taylor, Bean & Whitaker Mortgage Corp., pleaded guilty to charges in federal court in the Eastern District of Virginia stemming from a mortgage fraud that prosecutors characterized as a $1.9 billion scam. Bowman pleaded guilty to a count of conspiracy to commit wire fraud, bank fraud, and securities fraud. He […]

New York Attorney Indicted for Mortgage Fraud and Money Laundering

A federal grand jury in the Southern District of New York has returned an indictment against Louis Cherico, an attorney practicing in New York City and its suburbs. The indictment charges Cherico with operating a scheme to obtain control of luxury properties by filing false information with banks in obtaining mortgages. Specifically, the indictment alleges […]

FBI Changes Tactics in Fight Against Fraud

The Federal Bureau of Investigation has a caseload of more than 2000 mortgage fraud investigations. This significant number of investigations is straining the resources of the agency. As a result, the FBI will begin fighting fraud using the techniques common to the investigation of non-white collar crime. Traditionally, the investigation of fraud and white collar […]

Mortgage Fraud Rampant in South Florida

Florida ranks first in the country in mortgage fraud and second in foreclosures. Much of the fraud has taken place in South Florida. During the real estate bubble, phony sales and dissemination of false information was common place. Because the prices of real estate kept rising, the underlying fraud did not come to light because […]