The Real Deal Miami

More fraud charges for mortgage scammers

August 19, 2008 11:14AM

Six of 15 South Floridians pled guilty to mortgage fraud charges in an alleged $17 million scam. The group of defendants faced charges of racketeering, conspiracy to commit racketeering, mortgage fraud, grand theft, identity theft and money laundering. Investigators said the group used a pair of title companies in Miami-Dade County. The charges allege that title agents would prepare fraudulent documents, called HUD-1s, which inform lenders how their funding is to be disbursed. Many of the HUD-1 statements involved in this case contained fraudulently inflated sales contract prices. Another nine defendants still face charges.