Arthur Gonzales Diaz, Unlicensed Real Estate Broker, Allegedly Defrauded Latino Clients

County prosecutors are seeking the public's help in finding other potential victims of a man arraigned today for allegedly defrauding more than $87,000 from Hispanic
victims in real estate fraud scheme.

Arthur Gonzales Diaz, 56, of Anaheim,
is charged with seven felony counts of grand theft and one misdemeanor
count of engaging in business as a real estate broker without a license
with a sentencing enhancement for property damage exceeding $65,000. If
he is convicted, he can rot in the can for up to eight years.
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The Orange County District Attorney's Office statement on Diaz's arraignment follows:

November 5, 2010




OCDA SEEKS PUBLIC'S HELP IN IDENTIFYING ADDITIONAL HISPANIC VICTIMS OF
MAN CHARGED WITH DEFRAUDING OVER $87,000 FROM IN REAL ESTATE FRAUD
SCHEME

SANTA ANA – The Orange County District Attorney (OCDA) is asking for the
public's help in identifying potential additional Hispanic victims of a
man who was arraigned today for defrauding over $87,000 from Hispanic
victims in real estate fraud scheme. Arthur Gonzales Diaz, 56, Anaheim,
is charged with seven felony counts of grand theft and one misdemeanor
count of engaging in business as a real estate broker without a license
with a sentencing enhancement for property damage exceeding $65,000. If
convicted, he faces a maximum sentence of eight years in state prison.
Diaz is being held on $75,000 bail and must prove the money is from a
legal and legitimate source before posting bond. He has a preliminary
hearing scheduled Nov. 18, 2010, at 8:30 a.m. in Department C-55,
Central Justice Center, Santa Ana.



Beginning in August 2008, Diaz is accused of illegally operating as an
independent Real Estate Mortgage Broker, despite his license being
suspended since 1998. He is accused of coercing Spanish speaking victims
into giving him money for bogus real estate deals including home loan
modifications, short sales, home sales and purchases.



Diaz is accused of setting up three corporations Trans-World
International Securities, Inc. International Marketing Network
Corporation, and Banco International Realty, Inc. The defendant is
accused of running independent operations out two Santa Ana offices, a
RE/MAX branch office located at 2951 South Plaza Drive and a Century 21
Real Estate office located at 3500 South Bristol Street.



Between Aug. 1, 2008, and Dec. 16, 2009, Diaz is accused of knocking on
door of Alicia L.'s home under the pretense of being a legitimate real
estate broker at RE/MAX in Santa Ana. Diaz is accused of fraudulently
taking $15,000 from the victim, not purchasing a home for her, obtaining
a co-signer on her home loan, and returning only $2,000 of her money. 



In March 2009, Diaz is accused of meeting victim Jesus A. while
illegally operating his real estate business out of RE/MAX. He is
accused of promising that for $9,000 the defendant's investors would
purchase the home and re-sell it to the victim at a fixed mortgage rate.
The defendant is accused of fraudulently taking the money, not selling
the victim's property, and causing the victim's property to
foreclose.   



In April 2009, Diaz is accused of meeting Valerio S., who was attempting
to get a loan modification completed at RE/MAX with another agent. Diaz
is accused of fraudulently taking $15,500 from the victim and not
purchasing a home for the victim or getting a home loan co-signer as
promised.



In June 2009, the defendant is accused of meeting Efrain H. at RE/MAX
and offering his services to help him purchase a home. Diaz is accused
of taking $5,000 from the victim for a down payment on a home. Diaz
never purchased a home for the victim or returned his money. 



In June 2009, Diaz is accused of meeting victims Ramon and Patricia G.,
who were seeking loan modification on their home, while working in the
RE/MAX office. He is accused of fraudulently taking $20,000 as a down
payment and telling the victims that their home would be sold to
investors who would re-sell it back to them in three months at a fixed
mortgage rate. The defendant is accused of not selling the victims home,
obtaining a loan modification for them or refunding their money.



In July 2009, Diaz is accused of meeting Erica J. who went to RE/MAX
because she wanted to list her home for sale. Diaz is accused of telling
the victim to sell her home in a short sale so she could stop paying
her monthly mortgage payments while it was listed for sale. Diaz is
accused of taking $20,000 from the victim, telling her it was for a
reserve fund for the sale of her home which he would return plus $3,000
interest. The defendant is accused of never selling Erica J.'s home or
refunding her money. 



In addition, Diaz is accused of getting Erica J. to purchase a $104,000
Mercedes Benz, promising the victim to make the monthly car payments and
find her a co-signer for her property. Diaz is accused of stopping to
pay the monthly car payments leading the car to be repossessed and not
obtaining a co-signer for Erika J. on her property.



In late December 2009, Diaz is accused of hiring Hector M. to be a
transaction coordinator at RE/MAX. He is accused of fraudulently taking
$5,000 from Hector M. for a real estate investment deal, promising to
pay the victim 20 percent profit and in one month. The defendant is
accused of never paying any money back.



Each victim reported fraud to their local police departments in the
Cities of Placentia, Tustin, Anaheim, Garden Grove, and Santa Ana. In
Sept. 2010, the OCDA began investigating the case and linking the cases.
The OCDA filed charges Oct. 21, 2010. He was arrested yesterday, Nov.
4, 2010, by OCDA investigators and Anaheim Police Department officers.



The OCDA is asking for the public's help in identifying potential
additional victims. Anyone with additional information or who believes
they have been a victim is encouraged to contact Supervising District
Attorney Investigator Ron Frazier at (714) 347-8691.



Senior Deputy District Attorney Peter Pierce of the Major Frauds Unit
Real Estate and Mortgage Fraud Team is prosecuting this case.