According to a Department of Justice press release and reported by the Register, Charles Head, a 33-year-old from La Habra and several accomplices have been charged with illegal activities purportedly using the latest mortgage scam to come through the pipeline.
One can only expect more scams to surface soon in the wake of the "mortgage crisis," (otherwise known, at least by me, as the most shining contemporary example of both the greed and stupidity of the American people and the relentless unscrupulousness of our financial usury system, or GASAPRUFUS).
Head and 18 accomplices have been charged with mail fraud, conspiracy to commit mail fraud, conspiracy to commit money laundering and other related offenses resulting from an IRS and FBI investigation known as "Operation Homewrecker." According to the DOJ, they're accused of an "equity stripping" scheme where they fraudulently obtained titles to more than 100 homes and stole millions of dollars.
According to the DOJ, Head and his team of homewreckers found people over their head in their mortgage and promised them a way to make their payments on time with the help of an "investor." The phony investor, who of course pretends he still thinks the housing market will rebound, will make part of their mortgage payment if his or her name is put on the title.
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This probably seemed like a a good idea to the kind of person who thought it was a good idea to buy a two-bedroom ranch-style house in Westminster for $650,000 on an adjustable rate mortgage. Wocka-Wocka! Joke's on you!
Well, once Mr. or Mrs. Investor made their way on to the home title, guess what they did? That's right, they went to the bank, refinanced, and stole all the equity out of the house, leaving the homeowner with even worse problems.
But alas, don't feel bad for the bank that lost millions, or the homeowners who lost millions because, one way or another, you will ultimately pay for it.
Here's the full list of those charged: CHARLES HEAD,33, of La Habra, California; JEREMY MICHAEL HEAD, 30, of Huntington Beach, California; ELHAM ASSADI, aka Elham Assadi Jouzani, aka Ely Assadi, 30, of Irvine, California; LEONARD BERNOT, 51, of Laguna Hills, California; AKEMI BOTTARI, 28, of Los Angeles; JOSHUA COFFMAN, 29, of North Hollywood; JOHN CORCORAN, aka Jack Corcoran, 52, of Anaheim; SARAH MATTSON, 27, of Phoenix, Arizona; DOMONIC McCARNS, 33, of Brea, California; ANH NGUYEN, 36, of Los Angeles; OMAR SANDOVAL, 32, of Rancho Cucamonga, California; XOCHITL SANDOVAL, 29, of Rancho Cucamonga; EDUARDO VANEGAS, 28, of Phoenix; ANDREW VU, 39, of Santa Ana; JUSTIN WILEY, 28, of Irvine; and KOU YANG, 32, of Corona, California.