Real estate fraudsters are a dime a dozen these days, but crossing the $1 billion mark certainly makes a scheme noteworthy. In this story, they doubled that, and an Aspen home is up for seizure by the Federal Government in the case.
Tag Archives: Fraud
Former Bank President Facing Life for Real Estate Fraud
A former bank president at failed Oklahoma bank First State Bank of Altus is facing life in prison for his role in a massive fraud case. Paul Doughty was president and chairman of Altus, and has been convicted of 10 charges including bank fraud, conspiracy to commit bank fraud, misapplication of bank funds, making a false bank entry and unauthorized issuance of a bank loan.
Stamford Real Estate Investor Pleads Guilty to $17 Million Fraud
The former owner of Cabot Investment Properties LLC, Carlton Cabot, is under fire for his role in a $17 million fraud. This is far from the first time a leading investor pleads guilty to a real estate fraud scheme.
In the multi-year scheme, Cabot took investor funds for his own personal use. The money was spent on expensive private school tuition and a luxury vacation apartment, among other lavish lifestyle expenses. Continue reading
New York Man Earns Big in $200,000 Scam
Due to the nature of real estate transactions, scams can be very lucrative. In this $200,000 scam, a New York man scored big. Continue reading
Some Crooked Agents Aren’t Agents At All
Just because they look like a real estate agent and act like a real estate agent does not make them an agent. In fact, they may be one of America’s crooked agents, or just someone posing as one. Some fraud victims learned the hard way that John Patrick Ingar was not a landlord, but a man posing as a Realtor to make a quick buck. Continue reading
Ohio Realtor Gets 18 Months in Agent Fraud Case
Rotten real estate agents are a dime a dozen, but usually the unethical actions do not end up with time behind bars. In this agent fraud case, however, the agent ended up right where she belongs: in jail. Continue reading
Banks Foreclose without Papers
A foreclosure is pretty much the worst situation a homeowner can go through. It is stressful, embarrassing, and incredibly difficult to lose a home. Because of this, the government has created extensive regulations regarding foreclosures. These consumer protections are very important and do a lot of distressed homeowners. However, they only work when the banks actually follow the rules. Continue reading
Some Agents Should Lose their Real Estate License
If someone gets hit with a lock box, the attacker belongs in jail, not on the street selling real estate. However, the Minnesota Department of Commerce decided a seven month suspension was plenty for this dangerous agent.
Not only did agent Bill Bernier, a licensed real estate agent in Minnesota, beat a client with a lock box, he also violated a restraining order and threatened employees of a Saint Paul based inspection company. Continue reading
Broker on ‘Million Dollar Listing New York’ Under Investigation by State for “A Little White Lie”
As I’ve always said, virtual tours can be a nice enhancement to a listing photograph, but too much enhancement should be considered an unethical practice and should also be considered fraud. Here is an example of too much enhancement. Continue reading
The New Foreclosure Victims – Innocent Homeowners Like You
Banks are foreclosing on homeowners who are in default. While they’re at it, they’re even foreclosing on homeowners who are either current with their payments or don’t even have a loan with that bank. The confusion created by the robo-mortgage fiasco has resulted in lots of mistakes involving who owes what, and where those mortgaged houses are. However, that confusion hasn’t stopped banks from plowing ahead and throwing out the innocent with the homeowners in default. Continue reading
Selling Property in Perth Is Easier Than You’d Think
Owner’s property sold without his knowledge by scammers. At least they used a real estate agent.
Apparently it’s pretty easy to sell houses in Perth, Australia, as one property owner found out when he discovered his $485,000 investment property had been sold by scammers posing as the property’s owners. The sale occurred in June 2010 and was conducted by a series of emails and phone calls claiming the owner needed to sell his duplex due to financial hardship. Continue reading
1,295 Prisoners Bought Homes Using Homebuyer Tax Credit
Once again, your tax dollars at work. According to CNN Money, 1,295 prisoners, including 241 serving life sentences, bought homes and defrauded the government of $9.1 million in tax credits reserved for first-time homebuyers, according to a Treasury Department report released in June of 2010. The CNN Money article also goes on to say that “Treasury’s inspector general also found that thousands of people filed multiple claims or made claims outside the allotted time period. In all, more than $28 million was improperly doled out. Continue reading
Eliminate Your Mortgage Payment While Living In Your Dream House
How can you live in the house of your dreams without paying for it? Steal it! Eliminate your mortgage payment by becoming a squatter. Better yet, upgrade while sticking it to the Banker Man! Why live in your $150,000 house when you can break into and squat in a $1.9 Million house? What’s the worse that can happen, jail? In jail they give you free food and a free room. No matter what happens, you get a free place to live. Continue reading
Real Estate Agent Charged With Theft And Tampering Of Public Records
A real estate agent in East Stroudsburg, PA was charged Friday with falsely reporting a property he owned as being mortgage-free, selling that property and then keeping the money from the sale for himself. I can’t believe he thought he could get away with it considering the staggering amount of paperwork and disclosures you have to sign when buying or selling a house. I can’t believe the title company didn’t pick this up. Continue reading
Real Estate Broker Accused of Embezzlement
Somerville and Peabody Police yesterday arrested Kandy Farkhanda Shah, a real estate broker on several charges, including embezzlement and larceny. Kandy was mentioned to be the real estate agent representing the listing. A woman submitted an offer to Shah to purchase the house with a $7200 deposit. According to The Summerville News, she then asked Shah to provide documentation of the sale’s approval which Shah allegedly refused to do, police said. When the deal did not go through, Shah refused to refund the woman’s money, police said. A few of Kandy’s other alleged victims can be found at too. Continue reading