As a result of the real estate collapse, many people have been charged with mortgage fraud. Loan officers, brokers, real estate agents, bank employees, contractors, sub-contractors, appraisers, sellers and purchasers can find themselves charged with theft through the mortgage lending process. Theft by means of mortgage fraud can result against a person that is accused of misstating income, assets, debts and liabilities, the value of a home, and if the owner will occupy the property.
For example, Ernie Colter was indicted by Colorado’s Grand Jury on three counts of theft and one count of forgery for his role in fraudulently obtaining a loan for a client. Colter, a broker, is accused of submitting forged earning statements and asset statements along with other falsified documents to Countrywide Mortgage.
This indictment resulted from an investigation by the Colorado Division of Real Estate and the Attorney General’s Office.
For more information, see Colorado Revised Statute 18-4-401(9) Theft – Mortgage Lending Process Section.