|
Defendant
|
Plaintiff
|
Court
|
Amount
|
Overview
|
Case Title
|
Case Number
|
Date Filed |
Link to Story |
| Educational Systems Federal Credit Union |
CU National Mortgage LLC |
na |
na |
Declaratory judgment action seeking the court’s confirmation was filed. |
na |
na |
na |
www.mortgagedaily.com/LitigationGraveyard123009.asp |
| Edward G. McCusker, Jeffrey A. Bennett, Stephen G. Doherty, John Alford Bariana, Jacqueline McCusker |
United States of America |
U.S. District Court for the Eastern District of Pennsylvania |
$14,600,000 |
Criminal action against individuals or conspiracy and fraud by recruiting debtors to use equity built into their homes to pay for a new mortgage that would be purchased by straw purchasers, who then would take out an additonal mortgage on the property and keep the proceeds of the second loan. |
United States v. McCusker, et al. |
na |
Dec. 8, 2009 |
www.mortgagedaily.com/ForeclosureRescueLitigation121509.asp |
| Ideal Mortgage Bankers LTD dba Lend America |
United States of America |
U.S. District Court for the Eastern District of New York |
na |
HUD blocked from cutting FHA approval.The defendant was accused of abusing its authority under the U.S. Department of Housing and Urban Development’s Direct Endorsement Program by manipulating loan files and falsely certifying that loans met FHA guidelines. The court denied the government’s request for an order prohibiting Lend America from originating FHA insured loans in light of Ideal Mortgage Bankers’ massive operational overhall implemented to tighten compliance and prevent fraud. |
United States of America v. Ideal Mortgage Bankers, LTD et al. |
2:09-cv-04484-JFB -WDW |
Oct. 20, 2009 |
www.mortgagedaily.com/LawsuitLendAmerica102109.asp, www.mortgagedaily.com/LawsuitDojLendAmerica102009.asp, www.mortgagedaily.com/LendAmericaFha113009.asp |
| Independence Planning LLLP d/b/a Alternative Lending of Colorado, James W. Dale III, April A. Bigler |
State of Colorado |
District Court, Fremont County, Colorado |
na |
Bigler, as originator, allegedly lied to borrowers about interest rates, colluded with appraisers to inflate appraisal values, delayed closings, and other fradulent tactics with knowledge of Dale. As a result, 44% of Bigler’s borrowers ended up in foreclosure. |
The State of Colorado v. Independence Planning LLLP d/b/a Alternative Lending of Colorado |
na |
Oct. 8, 2009 |
www.mortgagedaily.com/LitigationCriminal123009.asp |
| James Benjamin Duncan, Hendrix Moreno Montecastro, Helen Moreno Pedrino, Maurice McLeod, Charlie Sung Muk Choi, Cindi Gayle Kelly and Thuan Nhan Du |
na |
Riverside County Superior Court, Calif. |
$125,000,000 |
Defendants tied to Pacific Wealth Management and Stonewood Investments accused of securities fraud. |
In re. Pacific Wealth Management and Stonewood Investments |
RIF153306 |
na |
www.mortgagedaily.com/InvestorLawsuits122909.asp |
| Peter Anthony Bakowski |
United States of America |
U.S. District Court for the Middle District of Florida, Tampa Division |
na |
The defendant mortgage broker plead guilty to selling the same mortgage notes to multiple investors in a scheme that led to millions of dollars in losses. The defendant was also accused of hiding existing liens from potential buyers and taking out loans on properties even though the properties were already mortgaged. |
United States of America vs. Peter Anthony Bakowski |
Case No. 8:09MJ1409 MAP |
Sept. 11, 2009 |
www.mortgagedaily.com/PleaBarkowski102609.asp |
| Phillip Seibel |
United States of America |
U.S. District Court in Oklahoma |
$770,037 |
30-month sentence plus restitution over alleged foreclosure rescue scam through Homesavers LLC. |
na |
na |
na |
www.mortgagedaily.com/ForeclosureRescueLitigation121509.asp |
| Phoenix Housing Group, Inc., W.R. Starkey Co., K&B Homebuilders, Inc. |
State of North Carolina |
General Court of Justice, Superior Court Division |
na |
Allegations that manufactured homes were sold, and loans were made on those homes, based on inflated values. |
State of North Carolina v. Phoenix Housing Group, Inc. et al. |
Case No. 09CY32513 |
Nov. 18, 2009 |
www.mortgagedaily.com/Litigation123009.asp |
| Robert Corp |
United States of America |
na |
$679,000 |
Allegedly overstated the principal balance on a loan to a psychiatric and substance abuse facility insured by HUD. |
na |
na |
na |
www.mortgagedaily.com/HospitalFraud120909.asp |
| Rudolph Joseph Strobel a/k/a Lee Harrison, individually and doing business as Lee Harrison Credit Restoration, Credit Restoration, and Lee Harrison Associates Credit Restoration, and Leanna Ruth Harrison, individually and doing business as Lee Harrison Credit Restoration, Credit Restoration, and Lee Harrison Associates Credit Restoration |
Federal Trade Commission |
U.S. District Court for the Eastern District of Texas |
$2,500,000 |
In October 2009, the defendants entered into a settlement with the FTC for $2.5 million dollars. The defendants were accused of violating the FTC Act and the Credit Repair Organizations Act by engaging in deceptive acts or practices in connection with advertising, marketing, promotion, offering for sale, or sale of credit repair services. |
Federal Trade Commission v. Rudolph Joseph Strobel a/k/a Lee Harrison, individually and doing business as Lee Harrison Credit Restoration, Credit Restoration, and Lee Harrison Associates Credit Restoration, and Leanna Ruth Harrison, individually and doing business as Lee Harrison Credit Restoration, Credit Restoration, and Lee Harrison Associates Credit Restoration |
FTC File No. 082 3141 |
Aug. 27, 2008 |
www.mortgagedaily.com/CreditRepair102809.asp |
| William E. Nichols |
United States of America |
U.S. District Court for the Western District of Louisiana |
$2,900,000 |
William Everett Nichols, President and sole shareholder of First Fidelity Mortgage, Inc. plead guilty to defrauding Sabine State Bank out of $2.9 million. Sabine State Bank had provided a line of credit to First Fidelity Mortgage to fund mortgages for its customers, which were secured by customer notes pledged by First Fidelity. Thereafter, Nichols prepared fraudulent notes by forging signatures of borrowers and notaries public and delivered the notes to Sabine State Bank as collateral so Sabine would deposit more funds into First Fidelity’s Mortgage’s account. Once Sabine deposited the money, Nichols would keep the money for himself. |
United States v, William Everett Nichols |
5:09-cr-00163-DEW-MLH |
July 23, 2009 |
www.mortgagedaily.com/LawsuitFirstFidelity110909.asp |
