South Florida Business Journal is reporting that federal authorities have arrested 485 people nationwide that are allegedly involved in a massive mortgage fraud ring.
This three-month operation is being referred to as the “largest crackdown” in U.S. history.
Of those arrested, 86 people in Florida are responsible for nearly $80 million of the fraudulent mortgages. Many of those charged are accused of falsifying documents to secure loans.
President Obama’s Financial Fraud Enforcement Task Force – a group of 21 agencies launched in November – is heading up the operation.
The agencies are expected to enforce nearly 200 civil actions to recover nearly $150 million, in addition to the criminal charges.
Other criminal actions in South Florida include:
“Eleven defendants, including a mortgage broker a real estate broker, a loan processor, and eight straw buyers, were charged in a scheme to defraud nine financial institutions of approximately $11.25 million in fraudulent loans on 15 residential properties.
Thirteen defendants, including a loan officer, a title agent, recruiter, and straw buyers, were charged in a mortgage fraud scheme that resulted in the approval and disbursement of approximately $16.9 million in fraudulent mortgage loans, causing losses of $9.7 million to the lender.
Four defendants, including a mortgage broker, a loan processor, and a straw buyer, engaged in a $2.5 million mortgage fraud scheme to purchase properties in Broward, Palm Beach and Lee counties.”
[...] June, 86 South Floridians were arrested for falsifying documents to secure fraudulent loans, which resulted in a loss of nearly $80 [...]