In Ohio and all other states, all types of fraud can occur. Mortgage fraud is one of these white collar crimes, although many people have never heard the term. Most of the time, attorneys defend real estate personnel and bank officials for mortgage fraud, but sometimes buyers are alleged to engage in fraud as well.
The Federal Bureau of Investigation cites two main categories for mortgage fraud: fraud for profit and fraud for housing. The first category typically occurs when industry insiders use their contacts, knowledge or authority to commit fraudulent acts for the purpose of gaining profit. The second category usually involves a borrower essentially lying on his or her mortgage or loan application in order to acquire housing.
There are many types of so-called mortgage fraud schemes including illegal property flipping, air loans, equity skimming and many others. What they all have in common is a risk of serious consequences if the alleged perpetrator is caught and then convicted.
The FBI and other government organizations take all fraud seriously and this type is no exception. This means enforcement agencies have a large array of networked resources in place to investigate mortgage fraud. At a moment’s notice, FBI investigators can meet with other local, state or national agencies to share intelligence and form awareness about any mortgage fraud they believe is taking place.
If you are under investigation for mortgage fraud, you need legal representation right away. This is true for borrowers as well as for bank officials, investors, real estate agents and more. In order to escape the most severe consequences, you will need to work closely with your attorney and cultivate a defense in keeping with your unique situation.
Source: FBI.gov, “Mortgage Fraud Overview,” accessed June 09, 2015
