Former New Jersey LO sentenced for role in mortgage fraud scheme – NMP Skip to main content

Former New Jersey LO sentenced for role in mortgage fraud scheme

Jun 11, 2010

Monica Cardona, a former loan officer at a Hackensack, N.J.-based real estate company, has been sentenced to a year and a day in prison for committing mortgage fraud in connection with the sale of a residential property she owned in Westwood, N.J., United States Attorney Paul J. Fishman announced. Cardona of Upper Saddle River, N.J., pleaded guilty before United States District Judge William H. Walls on Jan. 26, 2010, to a criminal Information that charged her with devising a scheme to obtain money from IndyMac Bank FSB through materially false representations. At her plea hearing, Cardona admitted that she falsely inflated the income and assets reported on a mortgage loan application and on supporting documents that she submitted to IndyMac in the name of a woman who worked cleaning her office. Cardona further admitted that she submitted the application to further the sale of a residential property she owned to the woman, and that she received proceeds from that sale. Judge Walls continued Cardona’s release on a $100,000 unsecured bond pending her surrender to U.S. Bureau of Prisons officials on or before Aug. 9, 2010. In addition to the prison term, Judge Walls sentenced Cardona to three years of supervised release and ordered her to pay restitution in the amount of $174,714. The restitution amount included losses to IndyMac due to its foreclosing on the property, as well as additional amounts Cardona charged to credit cards she took out in the name of the woman to whom she was selling the property. In determining an actual sentence, Judge Walls consulted the advisory U.S. Sentencing Guidelines, which recommend sentencing ranges that take into account the severity and characteristics of the offense, the defendant’s criminal history, if any, and other factors, including acceptance of responsibility. Parole has been abolished in the federal system. Defendants who are given custodial terms must serve nearly all of that time. U.S. Attorney Fishman credited Postal Inspectors of the United States Postal Inspection Service, under the direction of Inspector in Charge David Collins, for the investigation leading to Cardona's sentence. The case was prosecuted by Assistant U.S. Attorney Charlton A. Rugg of the United States Attorney’s Office Economic Crimes Unit in Newark. For more information, visit www.usdoj.gov.
About the author
Published
Jun 11, 2010
CHLA Backs Bank Capital Proposal, Questions Impact On Mortgage Lending

Trade group supports lower mortgage risk weights but says broader market forces — not capital rules — drove banks' retreat from the market

Senate Passes 21st Century ROAD To Housing Act In 85-5 Vote

Sweeping housing package heads back to House after Senate clears final version with broad bipartisan support

MISMO Updates Business Glossary To Support AI, eMortgages

New definitions covering eHELOCs, remote online notarization, valuation modernization, and compliance initiatives aim to improve consistency

Underwriters Don’t Slow Down Loans. They Eliminate Uncertainty.

ndustry’s biggest bottleneck is not underwriting itself — it is the uncertainty that reaches underwriting too late in the process. When validation happens upstream, speed follows naturally.

MISMO Launches AI Governance Framework For Mortgage Lenders

New FRAME toolkit gives lenders, servicers, and technology providers a roadmap for managing AI risk while supporting innovation

CFPB Tells Lenders Immigration Status Can Factor Into ATR Analysis

CFPB frames immigration status as a potential ability-to-repay factor when future U.S.-based income is at risk