Federal Authorities Focusing Energies on Stopping Mortgage Fraud

AppId is over the quota
AppId is over the quota

May 13, 2012 /24-7PressRelease/ -- The Federal Bureau of Investigation (FBI) and other authorities are taking cases of mortgage fraud very seriously. Beginning with the discovery of rampant fraud exposed during the housing crisis a few years ago, authorities began to crack down on individuals taking advantage of distressed homeowners. Now, as the country struggles to recover, authorities are pursuing individuals who would defraud homeowners with renewed vigor.

Because a conviction could result in serious consequences, individuals often need the expertise of a Los Angeles mortgage fraud lawyer. Recently the leader of a Hells Angels motorcycle gang was sentenced to a year in prison and $130,000 in restitution for his role in falsifying documents to obtain mortgages in 2006 and 2007. A Pakistani beauty queen is now wanted for her role in luring ethnic homeowners with false promises of securing new mortgages at lower interest rates. Despite promising a refund to anyone who wasn't fully satisfied, the beauty queen and her husband never returned a penny to homeowners who requested it. As a result, many homeowners lost their homes. If convicted, the beauty queen could face four years in prison. Her husband faces twenty years.

Basics of Mortgage Fraud

According to the FBI, most mortgage fraud plots often employ a form of "material misstatement, misrepresentation or omission relating to the property or potential borrower." These "errors" are then used by people such as the lender or underwriter to "fund, purchase or insure a loan."

The FBI notes that these misstatements, misrepresentations and omissions may manifest themselves in several types of fraudulent techniques, including:
- Fictitious or stolen identities
- False loan applications
- Straw buyers
- Inflated appraisals
- Kickbacks to people involved in the fraudulent scheme
- Filing or filling out supporting loan documents that are false

Mortgage fraud is considered a white collar crime. The cases are often complex involving extensive documentation. While there are numerous types of mortgage fraud schemes, the FBI classifies them, generally, in one of two ways:
- Fraud for profit often involves the defrauding of banks or lenders by those involved in the mortgage process, such as mortgage brokers, appraisers, attorneys or others.
- Fraud for housing involves borrowers who may misrepresent their income or other information on loan applications to acquire ownership of a house.

Common Mortgage Fraud Schemes

According to the FBI's 2009 Financial Crimes Report, there are several common types of mortgage fraud schemes or programs that may be fraudulently manipulated, including:
- Foreclosure rescue schemes -- involves finding homeowners who are at risk of or in foreclosure and offering to assist them keep their home. To keep the house, homeowners are told to transfer the title/deed of the property to an investor. The homeowners are told they can stay in the home and pay rent with the option to repurchase the property at a later date. The property is then sold by the company offering help to a straw purchaser or the investor after securing a fraudulent appraisal, all while the mortgage goes unpaid and the home goes into foreclosure.
- Loan modification programs -- similar in nature to foreclosure rescue schemes, homeowners who are struggling to make their monthly mortgage payments are told that their loans can be modified, for an upfront fee. Often, those that offer to help renegotiate the terms of the loan either negotiate unfavorable terms or fail to negotiate with the lender at all.
- Illegal property flipping -- after property is purchased it is appraised at a much higher value and then sold. According to the FBI, this scheme may include one or more false documents, false buyer information and/or kickbacks.
- Builder bailouts -- builders who built too many homes prior to the housing crisis find buyers to purchase these still empty homes. The buyers then fail to make mortgage payments and let the homes go into foreclosure.

How the FBI Investigates Schemes

According to information from the FBI, the agency employs several methods to investigate and catch people who are involved in mortgage fraud, including:
- Suspicious Activity Reports (SARs) -- SARs are documents that federally-insured institutions file with the agency. The FBI uses this information to find new fraudulent practices and aid in current investigations.
- The National Mortgage Fraud Team (NMFT) -- the NMFT manages the FBI's mortgage fraud programs at a higher level and provides assistance to field offices. The NMFT helps identify the "most egregious" cases of mortgage fraud.
- Partnerships -- the FBI has increased its working partnerships with other federal agencies and state and local authorities through Mortgage Fraud Task Forces (MFTF) and Mortgage Fraud Working Groups (MFWG).

Penalties for Mortgage Fraud

In 2009, the Fraud Enforcement and Recovery Act (FERA) was signed into law. Along with providing additional funds to law enforcement agencies, including the FBI, FERA increased the severity of the penalties that those accused of committing mortgage fraud face and extended the statute of limitations from 5 to 10 years.

With the passage of FERA, mortgage fraud penalties now include up to 30 years in prison and a maximum of a million-dollar fine.

With the seriousness that the FBI and other authorities give perceived mortgage fraud and the severity of the possible penalties, it is imperative that those accused of or under suspicion of wrong-doing aggressively protect their rights.

If you or your company has been accused of or is under investigation for mortgage fraud, you should enlist the services of an experienced criminal defense attorney as soon as possible. Without the help of a mortgage fraud attorney, law enforcement and prosecutors will be pursuing these criminal charges, including a possible arrest necessitating bail and other expenses. If on the other hand, your story is presented to authorities before they draw conclusions, a reduction or even rejection of the case is possible.

Article provided by Law Offices of Daniel R. Perlman
Visit us at www.danielperlmanlaw.com/

---
Press release service and press release distribution provided by http://www.24-7pressrelease.com

# # #

Read more Press Releases from FL Web Advantage:

View the original article here

Attorney Operated ~ Learn How to Perform a Mortgage Securitization Audit (May 25th-27th) ~ Las Vegas, NV

AppId is over the quota
AppId is over the quota

    LOS ANGELES, CA, May 10, 2012 /24-7PressRelease/ -- CFLA, located at 13101 W. Washington Blvd., Los Angeles, CA 90066, has pioneered years of research & development to produce an intensive certification program entitled: Mortgage Securitization Auditor "MSA". CFLA recognizes the supreme importance of the pursuit of truth, devotion to excellence, and the nurture of the democratic principles. CFLA brings accountability, trust, intelligence and integrity to all parties involved in the mortgage loan audit process. These parties include, but are not limited to: processors, underwriters, closers, borrowers, sellers, loan auditors, attorneys, real estate agents, brokers and appraisers. The Mortgage Securitization Auditor accepts the responsibility to adhere to the highest ethical standards.

Register online or phone 888-758-CFLA (2352): http://www.CertifiedForensicLoanAuditors.com

This is a professional development 'how-to' training, and does not imply any State or Federal Government affiliation.

CFLA's Training provides the peace of mind that your credentials are accurately highlighted and recognized.

Securitization Training Outline

-First, a revision of all pre-class reading material list, including handouts for each session, brochures, training survey forms, and securitized analysis report templates that will be worked on in each session.

-Docedge.com will be purchased by CFLA for usage in the class.

-CFLA will provide an electronic securitized analysis report template for each student.

-Overhead projector and PowerPoint type presentation slide show sequence. Including the live video of the Massachusetts Supreme Court hearing.

-Important to "define" the purpose of the investigation of the mortgage background to determine whether securitization has been followed by the terms of the PSA/prospectus.

-Divide sessions into SIX (6) segments for the first two days which model the six sections of the SAR.

-At the end of the second day, the student will take home a securitized analysis report assignment to prepare using a CFLA template.

-On the third day instructors will provide video education to all students while separately meeting with each student to review the securitized analysis report prepared by the student and answer individual questions.

-On the last half of the third day the student will prepare a securitized analysis report in class as a practical examination to be certified by CFLA.

Program Information

This is a comprehensive 24-hr training course to become a CFLA accredited Mortgage Securitization Auditor "MSA".

Objectives

Study and learn important topics related to Mortgage Securitization, terminology, and borrower documents, SEC Search Techniques, SPV search, document review, MERS search, GSE search, Assignments, Separation of Note/Deed, Substitution of Trustees, Notice of Defaults, & Trustee Sales

Receive a Certificate of Completion recognizing that you sufficiently meet the CFLA requirements necessary to be accredited as a "Mortgage Securitization Auditor"

Requirements

-Must promptly attend and be present for a minimum of 24 hours of training.

-Must satisfactorily pass a criminal background check/ Sex Offender Check [looking mostly for fraud, embezzlement]

-Must satisfactorily pass the final examination at the end of the course. Trainees will know right on the spot!

Major Topics

Overview of securitization and the securitization conveyance chain, introduction to CFLA Securitization Reports, terminology, and borrower documents, SEC Search Techniques, SPV search, document review, MERS search, GSE search, Assignments, Separation of Note/Deed, Substitution of Trustees, Notice of Defaults, Trustee Sales, "The Note Is A Contract"/When original Notes are produced, Auditors as Testifying Experts/Review of court transcripts, HAMP Overview, and much more.

Location

Residents Inn Marriott
370 Hughes Center Dr.
Las Vegas, NV 89169

Designed for...

All professionals in the mortgage, real estate, legal, and finance professions involved in loan modifications, lender litigation, lender litigation, bankruptcy, short sales, or real estate law.

Registration

Pre-Registration is required and can be done over the phone at 1-888-758-CFLA (2352), with Visa or Mastercard, or by Check. Registration forms will be emailed after payment is complete. Late Registration allowed until one week prior to course enrollment!

Pricing

$2,995.00 for the 3-day course. You will also receive certificate of completion recognizing you as a CFLA-Mortgage Securitization Auditor.

Benefits of the Course

-Receive a Certificate of Completion recognizing that you sufficiently meet the CFLA requirements necessary to be accredited as a "Mortgage Securitization Auditor"

-Maintain Students Records in a Nationwide searchable database to verify and validate certification for prospective employers

-Learn from Industry's Leading Experts

-Obtain flowcharts, work product, and other proprietary trade secrets that have made millions for certified forensic loan auditors, its sponsors, and affiliates

Testimonials from Previous CFLA Training Classes

"This course was the missing link in putting together all the knowledge I've already been accumulating, but was not able to assimilate into a prosecutable document for submission which an attorney can use in litigation. Thanks!"
-Warren D. Goldstein

"If you want to learn the audit the mortgage securitization process, then this is the course for you!"
-Timothy, O'Riley

"This is a course that every American citizen can use to fight back against Wall Street and the banks to keep or receive compensation for the mortgage fraud committed on 85% of loan originated between 2001-2008. Liz and Art are a God send!"
-Brandon Coleman

"Personally, the course is an enhancement because I'm already particular with about 95% of it. Although, I notice there are beginners in the class and I highly recommend the course and its instructors combined because I saw and noticed how these beginners were able to comprehend and able to finish their homework and finals on the 3rd day. The other 25% of the course was my "core" information to enhance my knowledge and the course & instructors made me achieve what I expected to learn. Thanks!"
-Eddie Peregrino

"Excellent information! The tracking of assignments, very thorough. Instructors' knowledge of these securitization processes are very strong. CFLA's commitment is very strong to students and to excellence."
-Carl L. Williams

"Although I have prior experience of 20 years of Mortgage Banking and Real Estate, this class has given me a comprehensive edge over the average attorney and ultimate foreclosure defense! Thank you for taking me to the top."
-Kartika Kelley

CFLA was founded by Attorneys for Attorneys to provide a low cost litigation support service on matters of expertise within the industry. CFLA is a full service litigation support company serving more than 10,000 Law Firms and Attorneys in all 50 States, with specially licensed Mortgage Backed Securities Analysis, training and support. CFLA has certified more than 1,000 Executive Professionals through its Nationally Recognized and Industry Acclaimed "Mortgage Securitization Auditor Training", practical application, classroom setting, by our industry leading experts.

---
Press release service and press release distribution provided by http://www.24-7pressrelease.com

# # #

audit, auditor, audits, certified, estate, forensic, law, lenders, lending, litigation, loan, modification, mortgage, predatory, realRead more Press Releases from Andrew Lehman:

View the original article here

Illinois Ranked Third-Worst State for Foreclosure, Mortgage Delinquency

AppId is over the quota
AppId is over the quota

    May 07, 2012 /24-7PressRelease/ -- Illinois Ranked Third-Worst State for Foreclosure, Mortgage Delinquency

Illinois is the third-worst state in the U.S. for foreclosures and mortgage delinquencies, according to a recent report from the Federal Housing Finance Agency. In 2011, more Illinois homeowners were facing foreclosure or seriously delinquent on their mortgages than homeowners in any other state except Florida and California.

As reported by the Chicago Tribune, more than 74,000 homeowners were either in foreclosure or at least 90 days past due on their mortgage payments. This figure represents more than 5 percent of all residential mortgages backed by Fannie Mae or Freddie Mac in Illinois. Of those, 42,000 were at least a year past due.

Short sales and deeds, which are used by some delinquent homeowners as an alternative to foreclosure, have also been on the rise in recent months, with an increase of 13 percent nationwide in the last quarter of 2011.

Avoiding Foreclosure With Chapter 13 Bankruptcy

For some homeowners who are unable to make their mortgage payments, Chapter 13 bankruptcy may be an option to help them avoid foreclosure and keep their homes. Unlike Chapter 7 bankruptcy, which may require filers to surrender their homes and other assets in exchange for debt forgiveness, Chapter 13 bankruptcy allows filers to keep their property while making payments on their debts according to a structured payment plan. This is sometimes referred to as reorganization bankruptcy, as opposed to liquidation bankruptcy under Chapter 7.

In Chapter 13 bankruptcy, people pay off some or all of their unsecured debts over a period of three to five years. The Bankruptcy Court creates a payment plan based on the individual's income after taxes, living expenses and other deductions. To qualify for Chapter 13 bankruptcy, filers must be able to show that they have enough income to make payments according to the payment plan.

In addition to the income requirement, there are limits on the amount of debt that a person may have to qualify for Chapter 13 bankruptcy. To qualify for Chapter 13 bankruptcy, a person must have less than $360,475 in unsecured debt like credit card debt and medical bills, and less than $1,081,400 in secured debt like a home mortgage or car loans.

For more information about Chapter 13 bankruptcy and to learn whether it may be right for you, contact an experienced bankruptcy attorney.

Article provided by William Factor Bankruptcy & Commercial Law
Visit us at http://www.wfactorlaw.com

---
Press release service and press release distribution provided by http://www.24-7pressrelease.com

# # #

Read more Press Releases from FL Web Advantage:

View the original article here