An Ohio woman has been ordered by a judge to take a loan against her own home to make restitution to her victims.
Pamela D. Sanford, 29, was charged with theft in an 11 count indictment by a Hamilton County Grand Jury last July, according to case documents. The Cincinnati woman allegedly started the scheme in 1999.
WCPO, a Cincinnati television station, reported that Sanford was a soft-spoken, caring, churchgoing woman that worked for Pengrove Mortgage in Blue Ash.
“You could call it a scam if you want,” Detective Dennis Whitman reportedly told WCPO. She “created a false debt on the mortgage to a title company — had the title company issue a check to pay off that false debt and then deposited that check into her personal checking account and used the money for herself.”
One victim was allegedly told that a “five-thousand-732-dollar” payment to a bank showing on her settlement statement “was probably taxes that the previous owner owed on the house,” WCPO reported. “So that was fine with me as long as I was able to buy the house.”
Sanford allegedly deposited the checks into her personal checking account at Fifth Third Bank.
“Most of these people were of questionable credit and were very happy to get a house, very happy to get credit,” detective Whitman was quoted by the Cincinnati Post as saying. “These people were so desperate to get loans, they didn’t read the fine print.”
The Post said one of the customers consulted a private attorney about a $4,800 fee, causing the scheme to unravel.
In February, she was convicted on 9 of the 11 counts, court records show.
After spending a week in jail, the judge ordered Sanford to go to a lender, “just like these people came to you,” and take out a home equity loan to pay the victims back, the Associated Press reported.
No telephone listing was found for Pengrove Mortgage, which at one time used the domain name, MortgageWizards.com.
Sam Garcia has been in mortgage lending since 1980, and is publisher of MortgageDaily.com. He also owns and operates CloseNow.com, a real estate portal site.
email: [email protected]
Other articles about mortgage fraud cases include:
- Underwriters Robert Jordan & Peter Tortorelli were sentenced for helping a developer obtain approval on fraudulent FHA loans.
- John M. Beaird, who lost the Republican nomination for a Texas House District seat in 2000, and Rudy Rudolph, entered into separate plea agreements in a case that involved more than $11 million in loans.
- Option One took $2.3 million loss on fraud loans.
- PinnFund U.S.A.’s former CEO reportedly sobs as he is sentenced for one of the biggest fraud cases in southern California history.
- Builder A. William Erpenbeck, Jr. directed his employees to deposit checks made out to construction lenders to the company’s own bank account.
- Angel L. Serrano Jr. accused of duping mortgage lenders in a Massachusetts flip scheme.
- Fraud Flips National Phenomenon: A look at mortgage fraud schemes.
- Atlanta fraud network responsible for more than $100 million in losses.
- Several southern California individuals have been charged for defrauding lenders and HUD of millions.
- The Provident Bank has reportedly filed a civil lawsuit against Community Home Mortgage Corp., accusing the company of fraud.
- Todd H. Charske and Gregory B. Romer of Kemper Financial Inc. are accused by the FBI of operating a flipping scheme and defrauding Meritage Mortgage Corporation
- According to the Suspected Fraud Activity Index for August of this year, the state showing the most deterioration in the Fraud Index combined with the higher activity levels is Texas.
- Two Virginia men are accused of using a Virginia title insurance agency to illegally divert loan proceeds for their own benefit.
- 83 individuals have been indicted by a Cleveland grand jury for participating in mortgage fraud schemes.
- Three Peoria, Illinois women were sentenced for their involvement in a mortgage loan scam where they defrauded a bank of $1.7 million in a classic flip transaction scheme
- Shirley Harwood and her employee pled guilty to defrauding two lenders out of more than $6 million
- Loan originator Brian J. Wilkozek and two loan processors are among fifteen people indicted in a south side Chicago “flipping” scheme
- Edward Rostami was sentenced to a year in prison for using a fraudulently obtained property title to obtain a $1 million loan
- Rene Abreu was among 11 people indicted in a case involving The Mortgage Pros, Inc. in Guttenberg, New Jersey
- David Allan Van Velzer, Jr., was sentenced to more than 8 years in prison for wire fraud and money laundering
- Kenneth Bradford and Jo Ellen Bryant received 10+ year sentences in a Georgia flipping case
- Seven indicted in AppOnline.com mortgage fraud scheme
- Indian authorities apprehended Rajiv C. Shah, one of two brothers that allegedly sold loans with fraudulent documentation to 3 U.S. lenders
- Loans originated by originated by Chapel Creek Mortgage Banker, Inc. could cost Chase Manhattan Mortgage Corp. between $10 and $20 million
- Kent E. Baklor was sentenced for defrauding two lenders of over $8.5 million
- Tamira Smyth was sentenced in a Chicago ‘flipping’ scam involving twenty defendants
- Former Las Vegas mortgage broker David Ferradino was sentenced to five years’ probation and ordered to pay $4.2 million in restitution to 90 investors
- Michael Graham received a sentence of more than 12 years in prison and was ordered to pay $515 million in restitution for his role in the failure of The First National Bank of Keystone.
- Yehuda Shiv was charged by the SEC with overstating the value of his clients’ assets by more than $139 million
- Cheryl A. Swain pleaded guilty to a charge of mail fraud in connection with her conduct as the VP for Marketing Syndication of MCA
- Robert B. Herbert, Jr. of Raleigh allegedly “embezzled and misappropriated moneys from Stewart Title.
- Donald Lukens allegedly defrauded more than 100 investors — including popular sports figures — of at least $12.5 million in a number of schemes, including one involving mortgage backed securities
- Steven D. Mueffelman and John S. Lombardi charged in a 15-count indictment with mail and wire fraud
- Raymond T. Jackman, JR. was sentenced to two years’ probation
- GreatStone Mortgage in Florida is accused of fraud, sexual harassment.
- The government is pursuing mortgage fraud cases in Charlotte and Cleveland.
- Miami family allegedly ran a mortgage fraud ring that swindled lenders out of $3.8 million.
- Maryland is the state with the most instances of possible fraud, according to Affinity Corporation’s ‘Suspected Fraud Activity Index’ for the months of June, July and August.
- Thomas Eck and Zahra Gilak made as much as $15 million, and defrauded investors of $100 million in sham that included online mortgage brokerage
- Richard Wood, a Las Vegas mortgage broker accused of bilking millions of dollars from dozens of investors in a nationwide Ponzi scheme, was gunned down outside his home.
- FBI Investigating Massive Mortgage Fraud Case In Spokane
- Richard Michael McDowell, who through southern California-based Active Home Loans and M&M Loan Service admittedly swindled an estimated $7 million from about two
