Houses stolen in “Foreclosure Rescue” scam
Still no regs covering this
crap.
Mug Shots
Federal prosecutors Monday charged 19 individuals, mainly from Southern California, with defrauding homeowners in trouble partly by using “foreclosure rescue pitches” and an equity-draining technique called equity stripping.
Prosecutors said they found victims of the mortgage scam in California, Oregon, Washington state, Nevada and at least 14 other states…
The defendants have been charged with fraud and conspiracy. They could face fines and sentences of as much as 20 years in prison, prosecutors said…
One variation of the alleged fraud…involved adding a so-called investor or “straw buyer” title to a property and requiring homeowners to pay “rent” that was lower than their original monthly mortgage payment. Prosecutors said Charles Head and his associates would sell the home after extracting all available equity.
Homeowners, in the process, lost their property.
You can always count on adversity to bring out the worst in some people.
Posted: Tue - March 25, 2008 at 11:48 AM