25 Count Criminal Complaint Announced In Alleged Twin Cities Mortgage Fraud

In Hennepin County, Minnesota, the Minneapolis Star Tribune reports:

• Five people have been charged in a $4.9 million mortgage fraud case involving at least 24 homes in Minneapolis and Golden Valley. Hennepin County Attorney Michael Freeman announced on Monday the 25-count complaint of racketeering and theft by swindle against Universal Mortgage Inc. of Brooklyn Park. Also facing those charges are Universal President Donald Walthall, loan officers Marlon Pratt, Rahmeen Underwood and Andre Bellfield, and Cleveland Fields, an alleged recruiter of straw buyers.

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• All but one of the properties involved are located in Minneapolis; the other is in Golden Valley. All but one wound up in foreclosure, he said. The other was given back to the bank. Freeman said that Universal came to the attention of his investigators last summer when the Star Tribune detailed the experiences of straw buyers who purchased homes through Universal. He said he doesn't plan to prosecute the straw buyers, calling them naive customers who were duped into buying properties for far more than they were worth.

For more, see 5 charged in $4.9 million mortgage fraud (The defendants, connected to Universal Mortgage Inc. of Brooklyn Park, are accused in a scheme involving 24 homes).

For other reports of the announcement by authorities of this mortgage fraud prosecution, see:

• Five men charged in alleged area mortgage fraud case (KARE-TV Channel 11) - go here for KARE-TV video report;
• Mortgage scheme stripped lenders of $4.9 million (Brooklyn Park firm, employees charged in mortgage fraud) (Pioneer Press),
• 5 Charged in Alleged Mortgage Fraud (The Associated Press).

Go here for other posts on the alleged Universal Mortgage straw buyer, home flipping scams.