Nevada Man Sentenced for Role in Foreclosure Rescue Scam – NMP Skip to main content

Nevada Man Sentenced for Role in Foreclosure Rescue Scam

Jan 17, 2011

Defendant Doninador Palalay (a.k.a. Dominador Palalay), has been sentenced in a foreclosure rescue scam case. On Sept. 9, 2010, Palalay pled guilty to one count of Theft—Obtaining Money in excess of $2,500 by Material Misrepresentation, a category B Felony, in connection with his role in operating a foreclosure rescue scam in Las Vegas during 2008 and 2009 under the business name of PDM Financial Inc. Las Vegas District Court, Department 24, Judge James Bixler sentenced Palalay to a term of nine months incarceration in the Clark County Detention Center. In addition, the defendant was sentenced to probation for a period not to exceed five years and ordered to pay restitution to his victims in the amount of $36,332.50. Palalay may also be required to abide by a curfew and attend counseling as recommended by the Division of Parole and Probation. Finally, he was ordered to report this conviction to any potential employers and is barred from employment in the Mortgage Modification and Foreclosure Rescue industry. “This case is particularly egregious because some of the victims lost not only money, but also their homes as a result of Palalay’s conduct,” said Nevada Attorney General Catherine Cortez Masto. On Oct. 19, 2010, Palalay’s co-defendant and wife, Marie Tejada Medina, pled guilty to one count of theft—obtaining money in excess of $250 by material representation, a category C Felony for her in connection with her role in the same scheme. Medina will be sentenced by Judge Bixler on Feb. 22, 2011. A third defendant, Benjamin Aquino Moreleda III, is a fugitive from justice with an  active warrant issued for his arrest. The case was prosecuted by the Nevada Attorney General’s Mortgage Fraud Task Force and Bureau of Consumer Protection after the office received numerous complaints about misrepresentations made by Palalay and PDM Financial.  For more information, visit ag.state.nv.us.
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