Four Detroit area residents were indicted on charges of wire fraud and interstate transportation of money taken by fraud, announced United States Attorney Barbara L. McQuade. McQuade was joined in the announcement by Special Agent in Charge Andrew G. Arena, Federal Bureau of Investigation. Charged in the 14-count indictment, which was unsealed this week, were MELVIN A. JOHNSON, 49, of Lathrup Village; CURTISS JOHNSON, 46, of Novi; BRADY MUSE, JR, 48, of Novi; and LANITA J. GATEWOOD, 53, of Detroit.  INDIANAPOLIS — A former real estate investor who pleaded guilty to federal charges that he set up straw deals to obtain inflated mortgages on more than 100 Indianapolis houses has been sentenced to prison. Forty-four-year-old Robert A. Penn of Naples, Fla. also was ordered Monday to pay more than $11 million in restitution. He earlier pleaded guilty to charges of wire fraud and admitted to money laundering conspiracy. Kevin M. Lafavers of LaGrange, Ky. faces sentencing Feb. 2 in the case. He pleaded guilty to wire fraud. The former Indianapolis residents were indicted in July on charges that from 2003 to 2005 they bought many of the homes for $120,000. Those were later seized by lenders and resold at sheriff's sales for $3,500 to $26,000. Link to Original Article WILMINGTON, N.C. (AP) — A federal judge has sentenced two North Carolina men for their roles in a $6 million mortgage fraud scam. The Star-News of Wilmington reports Wednesday that Daniel Rooks was sentenced to 7 1/4 years in prison, while Alford Rooks received five years of probation. Both Whiteville men pleaded guilty June 1 to conspiracy charges. Federal prosecutors say Daniel Rooks put trailers on land he bought and subdivided and sold to poor people, lying about the costs. Stanley Williams Jr., a mortgage broker, then falsified loan applications. Prosecutors said when buyers foreclosed, Williams bought the properties back, and the scam started anew. Williams and two others — an appraiser and a paralegal — were sentenced in October for their roles in the six-year scam. Link to Original The state – and the public – will soon be able to follow the bad apples and the good in the mortgage lending business wherever they go and whatever they do. Under the SAFE Act passed by Congress in 2008, federal and state regulators of the mortgage business were charged with jointly developing and maintaining a system for registering residential mortgage loan originators.  Kevin and Leslie Sluga have been charged with multiple counts of wire fraud and aiding and abetting. The charges were filed Wednesday in federal court in Fresno. The primary players in the ongoing investigation, David Crisp and former real estate partner Carl Cole, are accused of defrauding mortgage loan companies and federally insured financial institutions by supplying false information and documents to obtain nearly $11 million in loans. | ArchivesApril 2010 Breaking News:
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