twitter linkedin
facebook google+

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to 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

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

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

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

Press Releases
Reports and announcements from

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









site map

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


Feb. 6, 2012

Family Of Real Estate Agents Sentenced For $11 Million Mortgage Fraud Scheme

SPRINGFIELD, Mo. B Beth Phillips, United States Attorney for the Western District of Missouri, announced today that three members of a Monett, Mo., family who were all involved in a Springfield, Mo., real estate company were sentenced in federal court today for their roles in a nearly $11 million mortgage fraud scheme that involved more than two dozen residential properties and earned the family more than $1.3 million in illicit profits.

Charles E. Walker, 58, and his wife, Linda F. Walker, 59, and their son, Lee Edward Walker, 36, all of Monett, were sentenced in separate appearances before U.S. District Judge Ortrie D. Smith. Charles Walker was sentenced to 10 years in federal prison without parole. The court also ordered Charles Walker to pay $4,345,761 in restitution, which represents the actual losses suffered by the lenders as a result of the mortgage fraud scheme. He was taken into custody at the conclusion of today's hearing to immediately begin serving his prison sentence.

Linda Walker was sentenced to one year and one day in federal prison without parole. Lee Walker was sentenced to 30 months in federal prison without parole. Both Linda and Lee Walker, who will self-surrender on April 2, 2012, to begin serving their prison sentences, are jointly and severally liable with Charles Walker to pay the $4,345,761 restitution.

Charles, Linda and Lee Walker have each pleaded guilty to their roles in a conspiracy to commit wire fraud, which was part of a mortgage fraud scheme that lasted from November 2004 to June 2006. Charles Walker also pleaded guilty to participating in a money-laundering conspiracy.

Charles Walker admitted that he was the organizer and leader of the mortgage fraud scheme, from which he personally profited more than $1 million. Conspirators were involved in fraudulent real estate transactions in relation to 26 separate parcels of real estate totaling $10,944,023 in mortgage loans.

Conspirators defrauded mortgage lenders by submitting fraudulent loan applications to purchase residential properties at artificially inflated prices, with a significant portion of the purchase price of each home being returned to the buyer without the lender=s knowledge or consent.

As a result of the scheme, conspirators received kickback payments of approximately $4.3 million. Most of the residential properties involved in the mortgage fraud scheme have gone into foreclosure.

The Walkers are among 17 defendants who have pleaded guilty and been sentenced in the mortgage fraud scheme.

Charles and Lee Walker were Missouri board-certified real estate brokers who sold residential real estate through Charles E. Walker Realty, Inc, a real estate company that listed, marketed and sold residential real estate in the Springfield area. Charles Walker was the owner of the firm and Linda Walker was the secretary. Charles, Linda and Lee Walker were also private investors who purchased and re-sold residential real estate through Walker Realty for personal financial gain.

Charles Walker and other Walker Realty agents and investors bought and re-sold residential real estate among themselves for increasingly inflated values. Co-defendants Juan A. Johnson, 43, William Wagoner, 56, and Steve Casarez, Jr., 34, who were mortgage brokers, prepared fraudulent mortgage loan applications. Those fraudulent applications included inflated incomes and false listings of assets and liabilities for the borrowers to assist them in qualifying to purchase the homes involved in this scheme. They also concealed from the lender the fact that a portion of the loan proceeds would be funneled back to the borrower (and others) after closing.

Co-defendants Vincent Cantrell, 42, and Charles V. Pursley, 84, who were both certified appraisers, prepared falsely-inflated appraisal reports to support the artificially-inflated sales prices of the homes being purchased in the mortgage fraud scheme.

Lee Walker admitted that he was personally involved in seven separate residential real estate transactions that were part of the mortgage fraud scheme. Those transactions totaled more than $3 million in loan proceeds, of which Lee Walker profited nearly $360,000. The total loss suffered by the lending institutions as a result of Lee Walker's fraud totaled more than $1 million.

Co-defendants Linda D. Hanks, 41, Frankie R. Powell, 69, Christopher Forrester, 31, Laura Greer, 43, and Tammy R. Fedel, 55, were Missouri board-certified real estate agents who worked at and sold real estate for Walker Reality. They were also private investors who purchased and re-sold residential real estate through Walker Realty.

Co-defendants Jess Kevin Cypret, 54, James Powell, 73, Eddie Lee Rohrs, 39, and Robert C. Barnica, 37, were investors at the firm.

This case was prosecuted by Assistant U.S. Attorney Robyn L. McKee. It was investigated by the U.S. Secret Service and IRS-Criminal Investigation.

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

Local Mortgage Fraud news
News about local mortgage fraud.

Logout forgot

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


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