Torched Home In Foreclosure 'Ignites' Investigation; Alleged Straw Buyer, Flipping Scam Uncovered, Two Charged

KARE-TV Channel 11 (Minneapolis-St. Paul, Minnesota) reports:

• With the final touches nearly done on a major remodel project, a Brooklyn Center home is ready to hit the market. [...] The home was in foreclosure when authorities say someone set it on fire. That ignited an investigation, leading Hennepin County detectives to an elaborate scheme that swindled banks out of millions. [...] Edward Boler of Burnsville and Susan Newell of Minneapolis are now charged with racketeering and a dozen counts of theft by swindle. [...] In all Boler and Newell allegedly took banks for nearly $3 million and took more than $282,000 for themselves. Eleven of the 12 homes they helped purchase went into foreclosure. The buyer's credit was ruined. It was a big loss for banks and, authorities say, for neighborhoods.

For more, see Detectives bust alleged mortgage fraud scheme. Go here to watch KARE-TV Channel 11 video report.

For Minneapolis Star-Tribune story, see Two charged in $2.8 million mortgage scam (Prosecutors say they recruited straw buyers, got loans for more than the properties' worth and split the profits). foreclosure arson zebra yak