Clarence Lewis III, 45, of Houston, Texas, the owner of Motown Mortgage Group, indicted last week with charges of conspiracy, wire fraud and money laundering in an alleged scheme to defraud residential mortgage lenders. The indictment alleges that Lewis defrauded mortgage institutions between January 2002 and January 2007 by fraudulently inducing them to fund more than $12 million in mortgage loans. Lewis allegedly recruited individuals as fronts and used falsified documents to accomplish the fraud. Proceeds from the fraudulent loans were deposited into bank accounts in business names associated with Lewis, including Motown Mortgage Group and Astro Construction Company, according to the indictment. He faces 20 years in prison, plus a fine of $250,000 on each of the conspiracy and wire fraud charges if convicted. He faces 20 years in prison plus a fine of $500,000 if convicted on the money laundering charge.
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3 comments:
Mowtown Mortgage is just one of a long list of mortgage brokers who was in the ring where fraudulent appraisals were written by the same person using the identity and credentials of a legitmate and prominent local appraiser.
The TX Finance Commission was notified by certified mail of all the other mortgage brokers using the fraudlent appraisals by the imposter, but after 5 years have never responded.
Mowtown Mortgage is just one of a long list of mortgage brokers who was in the ring where fraudulent appraisals were written by same person fraudulent using the identity and credentials of a legitmate and prominent local appraiser.
The TX Finance Commission was notified by certified mail of all the other mortgage brokers using the fraudlent appraisals by the imposter appraiser, but after 5 years have never responded.
The mortgage industry has been in the news recently as ever. Almost every night on the news there is something about the mortgage industry, foreclosures, loan modifications, refinancing, etc. Many people are looking for a home loan, whether for a new purchase or refinance their existing mortgage becomes a much more cautious about the decisions they make.The mortgage broker is not hampered by the consumer, business relationships already established, and instead of finding a good loan from a lender or a little known rarely advertised with a well-known bank.
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