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Nevada AG Leads Indictment on Forensic Audit Scheme

NationalMortgageProfessional.com
May 03, 2013

Nevada Attorney General Catherine Cortez Masto announced that three Nevada residents and one California resident have been indicted by a grand jury on several felonies in connection with their operation of a mortgage lending fraud scam. A 15-count indictment was returned by a grand jury on April 22, 2013, charging the following individuals: ► Lynda Finch-Estrada of Las Vegas, Nevada ► William Chrissikopoulos of Las Vegas, Nevada ► Alan Dornhuber of Las Vegas, Nevada ► William Patterson of El Monte, Calif. “Mortgage and foreclosure rescue scams continue to threaten Nevadans and their homes,” said Masto. “Our office cannot investigate or prosecute cases like this without hearing from possible victims. I encourage potential fraud victims to submit complaints to our office.” Operating under the name USFP, Estrada, Chrissikopoulos, Dornhuber, and Patterson pushed a so-called “forensic audit” promising clients that if a “forensic audit” of their mortgage uncovered one or more “Real Estate Settlement Procedures Act (RESPA)” violations, clients would be entitled to a legal remedy resulting in the elimination of their mortgage obligation. Defendants also peddled an “administrative process” by falsely claiming that sending documents to various entities signed and fingerprinted in accordance with specific instructions including the use of multi-colored inks had legal significance which would result in clients obtaining their home free and clear of their mortgage. Finally, defendants sold a program whereby clients would obtain their home free and clear of their mortgage by quitclaiming their home to a nonprofit, “American Home Rescue”, paying rent to the alleged nonprofit for a period of time, and then having the nonprofit deed the home back to the clients. The defendants typically charged $6,295-$12,990 up front for one or multiple programs but failed to deliver the promised services. Estrada and Chrissikopoulos were indicted on four counts of theft, two counts of theft from a person 60 years of age or older, four counts of mortgage lending fraud, one count of pattern of mortgage lending fraud, one count of multiple transactions involving fraud and deceit in the course of enterprise of occupation, and two counts of preventing or dissuading victim, person acting on behalf of victim, or witness from reporting crime, commencing prosecution or causing arrest. Dornhuber was indicted on five counts of theft, two counts of theft against a person 60 years of age or older, four counts of mortgage lending fraud, one count of pattern of mortgage lending fraud, one count of multiple transactions involving fraud and deceit in the course of enterprise of occupation, and two counts of preventing or dissuading victim, person acting on behalf of victim, or witness from reporting crime, commencing prosecution or causing arrest. Patterson was indicted on two counts of theft against a person 60 years of age or older, two counts of mortgage lending fraud, one count of pattern of mortgage lending fraud, and one count of multiple transactions involving fraud and deceit in the course of enterprise of occupation.
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