Sacramento-Area Mortgage Fraud Suspect Thrown In Jail On Unrelated Charges

KCRA 3 in Sacramento, California reports:

• "One of the brokers at the center of our [mortgage fraud] investigation was convicted for molesting a 14-year-old girl last April. Now he's facing additional charges. Joseph Gallo was arrested again on July 16. He is charged with failure to report as a registered sex offender. Now he's back behind bars."

He had been on probation for the April incident and it appears that he may be serving out the remainder of his sentence as a result of this apparent probation violation, in addition to facing the new criminal charge of failure to report. By the way, the Federal mortgage fraud investigation into Gallo and his business associates spurred by KCRA 3 Josh Bernstein's investigative reports continues, with indictments reportedly expected next month.

(My guess is that now that Gallo finds himself in scalding hot water, it may be easier for the Feds to strike some type of a plea bargain deal with him where he agrees to turn on, and testify against, his business associates in the mortgage fraud investigation in exchange for a bit of leniency.)

For more, see Mortgage Fraud Suspect Faces Sex Offender Charges (Broker Failed To Report As Sex Offender After Molestation Conviction), or watch the KCRA 3 TV report.

Go here for prior posts on the KCRA 3 mortgage fraud investigative reports. Jim Martin