twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from MortgageDaily.com.

Mortgage News Reprints
Put entire MortgageDaily.com stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed MortgageDaily.com stories free on your Web site or for your RSS reader.

News Archives
Archive of MortgageDaily.com stories by month going back to 1999.

Press Releases
Reports and announcements from MortgageDaily.com.

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News

 

Mortgage News

HOT Topics

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.reversefunding.com

subscribe to free Mortgage Daily email newsletter

Mortgage Fraud News | Fraud Statistics | Fraud Index | Fraud Blog
Mortgage broker, originator and banker criminal cases. Real estate flipping and appraisal fraud. Mortgage fraud prevention, studies and analysis.



P R E S S   R E L E A S E

FOR IMMEDIATE RELEASE:

April 5, 2012


DANBURY ATTORNEY SENTENCED TO PRISON IN CONNECTION WITH MORTGAGE FRAUD CONSPIRACY

David B. Fein, United States Attorney for the District of Connecticut, announced that LUCY DeMELO, 39, of Danbury, was sentenced on April 4, 2012, by Senior United States District Judge Alfred V. Covello in Hartford to six months and a day in prison to be followed by six months of home confinement for participating in a mortgage fraud conspiracy. The home confinement was ordered as part of a three-year term of supervised release.

According to court documents and statements made in court, DeMELO was an attorney with an office in Danbury where she practiced real estate law. In connection with her legal practice, DeMELO agreed to participate in a conspiracy to commit mortgage fraud. As part of the conspiracy, DeMELO knowingly created false documentation at the request of a loan originator and made other misrepresentations in connection with loan closings. The false documentation she created included letters falsely claiming that she was in possession of funds deposited by prospective buyers as down payments for residential real estate transactions. These documents were used to qualify prospective borrowers for mortgage loans. The defendant also generated false HUD-1 settlement statements which falsely reflected the distribution of the proceeds of the loans and/or misrepresented who the true purchaser of the real estate was. For instance, DeMELO admitted knowing that, on some occasions, the purported purchaser of the property was in fact merely a straw buyer acting as a nominee for her co-conspirator. Many of these loans eventually ended up in default resulting in lenders foreclosing on the properties.

As part of the sentence, Judge Covello also ordered DeMELO to pay $828,104 in restitution.

On June 22, 2010, DeMELO pleaded guilty to one count of conspiracy to commit mail and wire fraud.

This matter is being investigated by the Internal Revenue Service - Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Paul Murphy.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov


Source: United States Attorney's Office for the District of Connecticut

Local Mortgage Fraud news
News about local mortgage fraud.


Logout forgot
password?

Mortgage Fraud Statistics
Government and private data on volume of mortgage fraud activity.



Mortgage Fraud Index
Dollar and index amount by quarter and state.



Mortgage Fraud Litigation
Lawsuits and settlements invoving mortgage fraud by a lender insider. From 2007 through first-quarter 2013



Mortgage Fraud News
News stories about fraud committed against home lenders.



Mortgage Fraud Blog
Actions in mortgage fraud criminal and civil cases.



local mortgage fraud


mortgage fraud links



SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

free mortgage news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter

MBS

mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

sales blog

secondary marketing

social media

servicing news

subprime news

wholesale lenders

wireless mortgage news