Wisconsin Feds Net Another Conviction In Ongoing Mortgage Fraud Investigation

In Wisconsin, The Janesville Gazette reports that Jose Valadez has agreed to plead guilty Wednesday to a single count of federal wire fraud for using another man's identifying information and acting as a straw buyer in the purchase and financing of a home in Delavan. After purchasing the home, Valadez failed to make any payments on the mortgage loan. Reportedly, Valadez was paid $1,500 by another scheme participant for acting as the straw buyer, and the home, which ultimately went into foreclosure, now sits with weeds almost reaching to the bottom of the front windows.

This is the second man who has agreed to plead guilty in this Walworth County mortgage fraud scam. The scam involved Lake Geneva mortgage broker James J. Lytle, who has already agreed to plead guilty for his role in the scam, in which he facilitated the fraudulent sale of about 19 Walworth County properties using recruited straw buyers. For more, see Buyer charged in mortgage scam.

For story update, see Man accepts deal in mortgage fraud (The Janesville Gazette - 9-27-07 ).

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