State cracks down on one more foreclosure scam

by Justin da Rosa02 Nov 2015
Three people allegedly involved in a mortgage foreclosure scheme in Nevada have entered guilty pleas.

Lynda Finch-Estrada, William Chrissikopoulos, and Alan Dornhuber all pleaded guilty to multiple fraud transactions and deceit that were carried out between 2011 and 2013.

The defendants allegedly formed mortgage assistance schemes that promised foreclosure assistance. Each case cost victims between $6,000 and $13,000.

Nevada Attorney General Paul Laxalt made the announcement late last week. He also warned of similar schemes.

“Mortgage fraud is a growing crime that hurts our homeowners, businesses and economy at large,” said Laxalt, according to local Las Vegas CBS. “I strongly encourage homeowners looking for mortgage assistance to consult the Home Again Nevada Homeowner Relief Program before paying any up-front fees to private individuals or entities. The program is sponsored by my office and offers a free resource designed to assist homeowners with their current mortgage needs.”

According to CBS, the three allegedly offered false promises to terminate mortgages by notarizing various documents. They also allegedly charged the homeowners for preparing fraudulent documents that appointed homeowners with powers of attorney for the lenders.

The defendants allegedly told those they defrauded the process would satisfy their mortgage requirements.

Nevada Attorney General Laxalt isn’t the only AG to set his sights on these types of scams.

New York Attorney General Eric Schneiderman kicked off a public awareness campaign in July, taking aim at “mortgage rescue” scams.

“They take victims and they re-victimize them, and there is nothing lower than that,” Schneiderman said at a press conference at the time.

COMMENTS

Poll

Is TILA-RESPA a good or bad thing long term?