Eleven Arrested in Mortgage Fraud Crack-Down The first round of arrests warrants for criminals dealing in mortgage fraud schemes brought in 11 people this week with two suspects still at large. At a press conference this morning Miami-Dade County Mayor Carlos Alvarez presented the cases where these individuals are suspected of committing mortgage fraud.

“Mortgage Fraud affects all of us as artificially inflated home values increase taxes making it unaffordable to live here,” said Mayor Alvarez. “On the flip side, when banks begin to foreclose on fraudulent mortgages and sell these properties far below their original value, the County’s tax base lowers. This may affect the level of services we are able to offer.”

To combat the problem, Mayor Alvarez created a Mortgage Fraud Task Force. The Task Force pools together various agencies and resources for a joint effort against mortgage fraud. This includes the Miami-Dade Police Department, Miami-Dade County State Attorney’s Office, Florida Attorney General’s Office, Florida Department of Law Enforcement, State of Florida Department of Financial Services, FBI, U.S. Attorney’s Office, Office of the Treasury and others.

Mortgage fraud is a substantial problem in our County with more than 200 reported incidents of mortgage fraud and an estimated $50 million in losses to lenders and other victims. The recent Florida State Statute 817.545 went into effect on October 1, 2007, making it easier to crack down on mortgage fraud, making all parties involved in Mortgage Fraud subject to prosecution.

Mortgage Fraud Task Force Chair and Miami-Dade Police Department Chief Counsel Glenn Theobald said, “Committing mortgage fraud crimes in Miami-Dade just got a lot harder as we have law enforcement officials, prosecutors, lending experts and others bringing all resources to the table to ensure this mortgage fraud crime does not pay.” “Protecting our citizens from mortgage fraud is a priority for the Florida Attorney General’s Office and the cooperative efforts of local, state and federal law enforcement and prosecution will be an important step towards shutting down these criminal operations,” added Florida Attorney General Bill McCollum.

Officials say in the coming months more fraudulent mortgage brokers, title agents, attorneys, appraisers and others will be brought to justice. Through the Mortgage Fraud Task Force, a concerted effort is being made and additional resources are being brought together to help put a stop to this problem.

Anyone who suspects deceitful mortgage practices is encouraged to contact Miami-Dade County’s Economic Crime Bureau at (305) 994-1000.