Just last week, we had 5 local people who were involved in a mortgage fraud scheme plead guilty to various charges that could get some up to 30 yrs in prison.  All took some sort of plea bargain reduced to a single charge each.  We get to find out next year what kind of time they will get. 

The fraud involved a Builder, a Banker, a Loan Officer, and 2 Realtors.  In their scheme, the builder would get construction loans and straw borrowers to sing for the loans.  The builder paid kickbacks to all parties involved in order to get the buyers and loans for homes that were never built.  The builder pocket draw funds and left the homes unfinished. Eventually, the bank took back uncompleted homes and reported it to the FBI. 

The Banker involved had left the bank and started with another construction lender prior to her arrest, she had even called on our office before anyone knew what she had done.  I am so glad we never sent any business to her new company. 

I hear rumors about other fraudulent activities being investigated right here in Idaho.  I am sure we will hear more stories like this as they work themselves out.