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:

Dec. 7, 2011


Four Indicted in $7 Million Mortgage Fraud Scheme

COLUMBUS—A federal grand jury has charged a title agent, her husband, an employee, and an associate with devising a scheme to defraud at least four lending institutions out of approximately $7,092,300 in mortgage loans between April 2006 and April 2008.

Carter M. Stewart, United States Attorney for the Southern District of Ohio; Darryl Williams, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS), Edward J. Hanko, Special Agent in Charge, Federal Bureau of Investigation (FBI) and other agencies participating in a mortgage fraud task force announced the indictment today.

Named in the indictment are
  • Deborah L. Kistner, 49, Hilliard, who operated title companies in Hilliard doing business as Premiere Title and Coast to Coast Title.
  • Mark A. Kistner, 50, Deborah Kistner's husband.
  • Philip H. Ennis, 36, Galloway, who was employed by Deborah Kistner to process real estate title documents and perform closings through Premiere Title.
  • Jaime L. Smith, 42, Hopewell, who was employed at a company known as Platinum Mortgage to arrange for and broker loans for Deborah Kistner and Ennis.
The alleged scheme involved the defendants and others arranging for prospective investors to purchase properties throughout central Ohio. The investors were promised cash back at the time they purchased the home, as well as a lucrative investment property. The Kistners are accused of buying approximately six homes as investment properties.

The homes were typically new-build homes purchased directly from the builder. Smith was one who recruited buyers, with the assistance of other co-conspirators, by explaining that they could buy homes with no down payment and at the closing of the property receive money generated by the loan proceeds back for personal use. This money was to be disguised as an "advisory fee" or "finders' fee." The investors were advised to create companies and register Limited Liability Corporations to which the cash kickbacks could be directed. In several instances, the HUD-1 Settlement Statements prepared by the title company and sent to lenders did not disclose any cash back to the property purchasers or their associated corporations.

The alleged scheme also involved including false statements about the buyer's income and assets and about the source of the down payments, in order to obtain mortgage financing from lenders, and concealing the kickbacks allegedly paid to investors, including the Kistners. The kickbacks ranged from approximately $35,000 to $110,000.

The indictment charges Deborah L. Kistner with two counts of conspiracy to commit bank and wire fraud, and five counts of bank fraud, each punishable by up to 30 years in prison. She is also charged with two counts of conspiracy to commit money laundering and three counts of money laundering, each punishable by up to ten years in prison. And she is charged with four counts of wire fraud, each punishable by up to 20 years in prison.

Mark Kistner is charged with two counts of conspiracy to commit bank and wire fraud, four counts of bank fraud, two counts of conspiracy to commit money laundering, four counts of money laundering, and one count of wire fraud.

Ennis faces one count of conspiracy to commit bank and wire fraud, one count of conspiracy to commit money laundering, two counts of bank fraud, three counts of money laundering, and three counts of wire fraud.

Smith is charged with one count each of conspiracy to commit bank and wire fraud, conspiracy to commit money laundering, and wire fraud.

All will be summoned to appear by Senior U.S. District Judge George C. Smith who will preside over the case.

Stewart commended the cooperative investigation of this case by IRS and FBI agents, and Assistant U.S. Attorney Laura Denton, who is prosecuting the case.

The investigation by the task force has already led to charges against Jerry Ryan Moore, 36, of Dublin who pleaded guilty to one count of conspiracy and was sentenced in March 2011 to five years' probation and ordered to pay $278,630 in restitution to the victim lender., Jeffrey A. Corry, 44, of Galena who pleaded guilty in September 2011 to one count of conspiracy to commit money laundering, and David Brentley, 51, of Pataskala who pleaded guilty to one count of money laundering. Brentley was sentenced today to 13 months in prison followed by three years of supervised release, a $1,000 fine and ordered to pay restitution of $1,965,041 to the victim financial institutions jointly and severally. Corry is awaiting sentencing.

An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.


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

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