Condo Fraud in Miami

Thirteen individuals have been indicted for mortgage fraud in relation to luxury condominiums in Miami, Florida.

Federal Investigators allege that the ring scammed mortgage lenders of over sixteen million nine hundred thousand dollars. The scam involved the purchase of luxury Condominiums in downtown Miami and Single Family homes in Coral Gables, Florida.

The ring which involved thirteen individuals ranging from real estate officers to Wells Fargo employee recruited straw buyers to create fraudulent loans. The ring would provide the mortgage lender with fraudulent salary, employment, assets and appraisals to the mortgage lender in order to show the lender that the straw buyers could afford the mortgage loan.

The properties were purchased at an inflated price in order for the ring to obtain the difference at the closing table. The properties eventually went into foreclosure costing Wells Fargo over nine million seven hundred thousand dollars.

The case will be prosecuted by the United States Attorney’s Office in Southern District of Florida.