The man faces up to 32 years in federal prison
Hasan Hussain of Princeton, N.J., has admitted his role in a conspiracy that defrauded financially distressed homeowners, investors, and financial institutions, according to the US Attorney’s Office for the District of Rhode Island.
Hussain also pled guilty to aggravated identity theft in connection with the scheme before US District Court Judge John McConnell Jr.
He had previously been convicted in federal court in Massachusetts and incarcerated for masterminding a real estate fraud scheme.
Under the most recent indictment, Hussain admitted to tricking property owners seeking loan modifications into paying him fees and selling their homes in short sale transactions. By directing other individuals to damage the properties, he convinced lenders to agree to artificially low sale prices for the homes. Hussain or another associated entity then acquired the properties at reduced prices and flipped them to investors at much higher prices.
Hussain also admitted to causing losses to lenders of the Federal Housing Administration by assisting investors to acquire federally backed mortgages through fraudulent applications.
Under his plea agreement, Hussain admitted that the scheme resulted in losses between $550,000 and $1.5 million dollars. He also admitted that he harmed 10 or more victims, some of whom were particularly vulnerable as a result of their personal situation. The agreement also provided that the government would seek a leadership enhancement for Hussain given the extensive nature of the scheme and his role in it.
Hussain faces up to 32 years in federal prison, five years of supervised release, and a fine of about $1.3 million. Ricardo Abreu, a co-defendant in the matter, is set to be sentenced on Oct. 30 after pleading guilty earlier this year.