“This complicated and devious scheme allegedly involved defendants who were so greedy that they pushed through more than $3.3 million
in fraudulent mortgage loan transactions in just over six months by falsely inflating the income and assets of the borrowers.
Their alleged actions resulted in all six properties going into default and forcing the bank to initiate foreclosure proceedings against the borrowers.
Some of the properties were sold in short sales for up to one-third less than the sales prices that were paid to acquire the properties
in the transactions involved in this case.â€
[/size]This is soooooo Kindergarten....Lock dem up for stupidity !
Why didn't the banks ask for tax returns to verify income and assets of the borrowers? :-\ If they had simple done their due diligence then these alleged bogus transactions would probably not have occurred.
[quote author=ketchim link=topic=79119.msg493118#msg493118 date=1365528724]
Maybe the Constante dude had approval authority from Wells Fargo :
up to maybe 500K .....
times 6 = 3 million !
[/quote]
Then that is the bank's fault. Every borrower will try to inflate to some degree their income and assets in order to get the mortgage. Hence, the banks should have a due diligence process to ensure everything with respect to the income and asset of the borrower is verifiable. And of course the easiest and best way to verify income and assets is simply to look at the previous year's tax return.
[quote author=ketchim link=topic=79119.msg493122#msg493122 date=1365529071] [size=10pt]District Attorney Brown expressed his thanks to Wells Fargo Bank for their cooperation and assistance in the investigation.
hahahahahahha.....Their Staff member , Constante , was part of the Fraud ! [/size] :-[
He probably altered the Tax returns...
[/quote]
Alter tax returns? Get serious Bro. All you have to do is call the IRS or CRA and verify the numbers.
