Comments on: Mortgage Fraud 2008: Bellevue

By: Daniel Mulvehill

Daniel Mulvehill — Sat, 27 Feb 2010 16:48:28 +0000

well I hope theysaved there fraud money because you will need this to pay as an example F.Lee Bailey? Greed prevails, no Ethics, temptation, these types of people think that the rest of us as the late Paul Harvey would say, were’s here’s the rest of the story, YOU BUSTED enjoy the view they deserve it. There is a correct way toearn your income, these people had to know that but decided to make up there own drive through lane and it ends up in prision?

By: Chris Yanke

Chris Yanke — Wed, 30 Dec 2009 21:42:17 +0000

The biggest problem with stories like this is that it makes it hard on Thanksgiving to be the one to tell your family that you’re a Loan Officer. In this particular case you have a lot of collusion because once you see a pattern of parties involved in this type of scenario you can only imagine that everyone has been enticed by easy money.
In my mind even if they get prosecuted to the full extent of the law, it’s the rest of us that will have to continue to pay in the eyes of a skeptical public.
Thats the unwritte part of our job; to rebuild an industry and reshape the value we create.

By: Yvette

Yvette — Fri, 18 Dec 2009 06:43:59 +0000

The problem with the people that do these types of schemes is that they honestly think they are doing good for the seller and everyone involved. The seller was able to sell his house and walk away with money, the Lo and assistant made money, the realtor made money, the appraiser. I am not so sure that escrow knows about what is going on, not unless they are using the same escrow company and closer. It really Depends on who is notarizing the documents to know that the buyer is not a real buyer. The buyer has to provide identification that they are the person that is signing loan documents. If they provide proper documentation I am not sure escrow would know. Hopefully they are not notarizing documents where the buyer is not present. That would definately raise a red flag.

I just hope that everyone involved is prosecuted and that the guilty do not go free.

By: Raylene Ramos

Raylene Ramos — Thu, 23 Apr 2009 22:35:01 +0000

It really pays to do your homework as a consumer to not get into this type of situation. I can see how a seller would love to inflate the price of their home for their benefit. However, if the right, (or wrong), person were to come along as the uneducated buyer, this is where the fraud begins. Beware buyers and do your homework!!

By: Mary McGraw

Mary McGraw — Wed, 22 Apr 2009 00:19:40 +0000

Personally i think people with that frame of mind should have some kind of action taken on them to learn that it is just wrong to do those things to others and feel good about it gives the ones that truly care a bad name.

By: Mary McGraw

Mary McGraw — Tue, 21 Apr 2009 23:23:52 +0000

I can’t believe that people would do these things and not let it bother them when they are asleep also that they wouldnt get caught.

By: Mr. P. Greg

Mr. P. Greg — Mon, 30 Mar 2009 08:11:17 +0000

It not a surprise, that this has happened. When I started seeing sub prime products in 1996 I knew it was only a matter of time before it would all come tubling down. History repeats itself. Problem is that people forget. We now whitness another credit collapse, the last time markets collapsed to this degree it revolved around margin accounts. Want to point a finger, look at the private cartel of Central Bankers, who run 13 of the most influential banks in the world. As a private bank they even get to print thier own money, and lend it to a government that has to pay them back with interest to use that money. Who is it…why the Federal Reserve….anyone want to venture a guess why M3 figures haven’t been released…anyone? Those that understand probably have a very sick feeling in your stomachs. By the way the last guy to stand up to them and start printing US treasure bills was shot in Dallas Texas 1 month after the treasury started printing Treasury Bills in 1963…anyone remember silver certificates? Now what was that about mortgage fraud? Think this is fiction huh? Anyone wonder why the truth about the Federal Reserve Act, who actually was behind it, and why a group of powerful bankers started it, how it was promoted, and why the Internal revenue Act was passed. And how many of you know anything about Fiat money? If our US Treasury prints money, how does it owe itself the money it prints? Wow I bet that just flew right over the heads of most of you? Your all in the mortgage business for crying out loud. Dont feel bad most bankers haven’t even figured this out…to close to the trees to see the forest. Henry Ford was quoted “It is well that the people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.” This econiomic collaps was planned, it takes down any banks that could pose a threat to central Bankers. I’m sick of the one fact people don’t know that the subprime lending industry, was perpetrated, created, promoted, and managed by the federal reserve. Take a few minutes, your all online, and look up to see who the stockholders of the Federal Reserve are, then start thinking. Money is not what you think it is. it is Fiat money, which isn’t money, at least not in the sense it is supported by Gold. And don’t talk to me about floating dollars, thats BS Finance 400 class crap you learn from some goofy professor in college, whose clueless about the corruption in the central banking system. Theft and stealing from unsuspecting borrowers is low, but what the fed does is evil. No I’m not a radical, and I suggest you look up to G Edward Griffin – Creature From Jekyll Island A Second Look at The Federal Reserve…its chilling. And it will piss you off…Sub Prime…yea ok…whatever

By: Chris Madden

Chris Madden — Sat, 28 Feb 2009 17:48:13 +0000

This scheme went across four different occupations. Can anybody say Victor Madoff. If these types of schemes are being executed on Wall Street, what makes people think the same schemes are not happening on main street. This went from the buyer, seller, appraiser, LO, processor, mortgage company, and the bank. They all had a role in this. It goes back to my last comment about this case. There was greed on several different levels.

By: Sharon Eva

Sharon Eva — Wed, 11 Feb 2009 17:27:30 +0000

I am speechless. It is apparent that our current system in terms of oversight is not working very well. What was DFI doing while all of this was going on? I thougt that when a forclosure occurs, it signals a red flag on the LO, lender, etc. that are involved and an investigation is typically done? For this to be going on for years is simply wrong and I’m upset that our tax paying dollars that pay for institutions such as DFI and the police department has let us down. We cannot let matters like this happen again.

By: Teresa Tait

Teresa Tait — Wed, 11 Feb 2009 02:52:52 +0000

All of those involved were determined to commit fraud without concern or regard for the harm that they would cause. All for 1 thing: MONEY. There will always be people like this and that is why we need to make sure that adequate rules and regulations are put into play and enforced. Lending is a very serious business and should be treated as such. Too many people have lost way too much because of the lack of oversight.

By: Robert Paterson

Robert Paterson — Sat, 07 Feb 2009 01:26:01 +0000

For this to happen you need a crooked loan officer, crooked appraiser, crooked home owners and crooked home buyers. I’m amazed that they started this in 2005 and didn’t get caught until 2008 with all these moving parts.

By: Scott

Scott — Tue, 27 Jan 2009 01:26:32 +0000

Shameful actions from all those involved

By: Carla

Carla — Wed, 14 Jan 2009 02:45:40 +0000

Big Egos – Greed, so much dishonesty. One of the many ways that fraud is conducted in the Mortgage Industry. I am hopeful that stricter licensing requirements and increased continuing education will help to deter some of this type of activity.

By: Mary Schimmelbusch

Mary Schimmelbusch — Wed, 31 Dec 2008 23:06:25 +0000

How does it go on for that long? How many people just turned a blind eye?

By: Joe Hrebik

Joe Hrebik — Wed, 31 Dec 2008 20:03:19 +0000

Its unfortunate that the bad guys don’t use some of their smarts to benefit the industry instead of all this destructive stuff. This was a well thought-out scheme and its scary how easy it was to carry out… we are talking 54 properties here!

The main culprit to me is the appraiser, without his bloated values this scheme could not be successful, hope he got a big cut, also hope he got some nice long prison time. Lenders should do more on their end, they should not put so much reliance on the appraiser’s numbers, a quick check of Zillow would at least give them an idea of whether the appraised value is realistic… also, hugh home value increases in a short time period should require a second appraisal, by an appraiser approved by the lender.

By: Cheryl J Barr, 510-LO-38949

Cheryl J Barr, 510-LO-38949 — Wed, 31 Dec 2008 19:55:49 +0000

It is hard to believe that sellers would buy into this. If your house isn’t selling, what makes a person think it will sell for alot more? There are all kinds osf people who continually try and skirt the system to make a quick buck. There is so much money in the mortgage industry we are sitting ducks for the criminals that really don’t have anything to loose and come in and try to destroy our industry. I believe threw tougher licensing and education requirments for all aspects of the business we will be able to deter some of this activity.

By: John Sarausad

John Sarausad — Wed, 31 Dec 2008 08:58:11 +0000

I am extremely shocked on this story. I do not see why someone can’t appreciate the fact that we get paid to make a difference in our clients life, and that right there, is worth fighting for every loan that we can and make a decent living doing it. This story reminds me of the movie Point Break, where they can’t stop robbing and robbing and robbing. Just sick…

By: Susan Lohse

Susan Lohse — Wed, 31 Dec 2008 07:13:39 +0000

Well, apparently I read this article in the last class I took. I couldn’t believe it then, and still can’t believe it. Maybe they assume they will get caught at some point, but are just addicted to the rush they get from ripping people off. Then they have all kinds of fun spending the money and look for their next victim. The state should offer an incentive program to anyone who reports a fraud suspect and they get indicted. That way the ones who originally didn’t have the ill mind in the first place will have a reason to report the fraud. The state needs more investigators on these cases to deter their criminal activity – I’ll be one – Where do I sign up.

By: shelley safronek

shelley safronek — Tue, 30 Dec 2008 20:48:23 +0000

It’s sad to see how desperate people can get. I’m not sure how they sleep at night. I can’t even imagine how devious your brain needs to think to create these situations. I’m sure there were many players that had their pockets lined with these schemes and I hope they are all paying for it now!

By: Brian Paine

Brian Paine — Tue, 30 Dec 2008 18:53:54 +0000

This is what I’ve been talking about. Morals and ethics are not lacking in only those with criminal backgrounds. A state or national license nor an $80K degree from an accredited institution, nor thousands of dollars on continuing education would have, or will, prevent this from happening again.

There are dozens of these schemes taking place right now just here in the little state of Washington and will make headlines in another six months…it’s just got a few twists to the story. These are difficult times and those who aren’t afraid of the repercussions in place now will not be deterred from their get rich, launder the money here, schemes.

By: Dennis Tyler

Dennis Tyler — Tue, 30 Dec 2008 03:02:16 +0000

These people aren’t geniuses… They are just plain dumb. It’s really hard to believe that people do this. They must know that they’ll get caught sooner or later. I had a realtor call me today asking about a scheme that a non-realtor is pulling off right now, to get control of property that is in trouble. I encouraged her to call the DA’s office.

By: Jim Haechler

Jim Haechler — Tue, 30 Dec 2008 00:39:08 +0000

This doesn’t surprise me. I know this broker and choose to stay away. This was only a part of it. It takes all types to give an industry a black eye.

By: William Schornack

William Schornack — Mon, 29 Dec 2008 23:55:28 +0000

I happy to hear they caught these people! It always amazes me how many people are part of these schemes. I’m hoping with the increased licensing requirements we have weeded most of the bad apples out of our industry.

By: Jim LaLone

Jim LaLone — Mon, 29 Dec 2008 22:59:48 +0000

Too bad the geniuses that perpetrate these deals can’t channel their ideas in a positive endeavor. there must have been alot of money in this program, ’cause it sounds very complicated to put together, and there were more than a few mouths to feed from the procedes. I’m thinking that Joe Arrapio in that jail he runs in the Pheonix area might enjoy entertaning this group for many years.As I have said before, maybe it needs to be more painful.

By: Bartholomew Henning

Bartholomew Henning — Mon, 29 Dec 2008 22:31:36 +0000

I hadn’t heard about this either. I know how they sleep at night, they could care less about people. There are people like this all over the place and in every industry. They are the same people who will scare elderly people into buying storm windows for thousands of dollars. They have no conscience.