February 19th, 2007 12:43 pm
Why Should I Go To Jail For Mortgage Fraud?
A fellow real estate blogger and investor Nigel Swaby has a friend who is a federal agent:
… He’s a forensic accountant by trade, but don’t let that title fool you. My friend is an avid outdoors man whose weaponry skills are utilized strongly by our government. He’s also the guy that conducts interrogations of bad guys. With the evidence he’s researched at hand, he’ll go into that interrogation room and drop the bomb on suspected crime ringleaders. Though unassuming to look at, I would never want to mess with this friend of mine. He has no sympathy for bad guys.
Knowing what his job and background is, I ran the Casey Serin scenario by him to see what the likelihood of a criminal investigation would be…
I encourage you to read more on what the federal agent said about my mortgage fraud and likelyhood of jail time.
My stance on my mortgage fraud has gone back and forth between admitting and rationalization and it’s really a little of both.
YES, I overstated my income, misrepresented owner occupancy intent and concealed the cash-back from the lenders.
NO, I didn’t inflate any values or am aware of any false appraisals.
NO, I was not a “straw buyer” for somebody. I was acting solo simply trying to get into the fix-n-flip business and maximize my buying opportunities.
NO, I didn’t know I was commiting fraud with my “liar loans”. I just thought it was “gray area” based on the advice I have been given and how common and acceptable this behavior is in the industry.
YES, I realize ignorance of the law is not a defense.
NO, I don’t blame anybody but myself. I am not out to bring people down with me.
NO, I am not denying, hiding or running but instead standing up for what I have done and sharing openly in order to provide an example of what NOT to do.
YES, I had full intent to repay all those loans but because of my inexperience I got overleveraged and ran out of money.
YES, I am still trying to find a way to payback all those loans or settle for as much as I can via short sales, etc.
YES, I believe I am making a difference in the industry by talking about my mistakes. My goal is to show other wanna-be RE moguls, agents, loan officers, etc, the consequences of reckless behavior.
I was speeding and crashed my car. Now I am talking about my crash so that maybe others will slow down a bit.
Furthermore, I have a new respect for the speed limit and traffic laws.
So the question is…
With the troubles I have already experienced and the good I am trying to do via my story…
With my credit ruined, my reputation tarnished, my behavior sharply criticized, my past dug up and exaggerated, myself and my associates verbally abused, and even my family being
Notwithstanding that some of you can’t stand my care-free personality, my preference for self-employment and occasional Jamba Juice outings..
With all that…
WHY do so many of you think I still deserve to go to jail??
Come on guys. I tried to get into business and started off on the wrong foot. I am no criminal.
I am just trying to do the right thing now and educate others through my experience.
Why all this hate?
Have you made up your mind or are you finally going to approve of me when I find a way to payback/settle all my loans later this year?
Note: I apologize for the comments being disabled. It was an administrative snafu.