California Man Facing Federal Felony Charges In Alleged Scam Promoting Sale Of Lists Of Foreclosed Homes

The Des Moines Register reports:

• A California man who authorities say stole $560,000 from more than 100 newspapers and their readers has dropped plans for a guilty plea after federal prosecutors moved to put him in prison for nearly seven years. Mark Allen Davis allegedly used bogus newspaper ads - eight were placed in The Des Moines Register between September 2004 and January 2007 - to raid the bank accounts of 998 people across the country.

***

• Federal prosecutors say Davis used his Tiburon, Calif., home to run a scheme focused on the resale of foreclosed properties. Documents say people who called a toll-free telephone number in newspaper ads would be promised a list of government-foreclosed properties in their area. Instead, a federal indictment charges, Davis used bank information provided by the callers to raid their accounts for between $126 to $189 per person.

Reportedly, documents say the scheme ultimately cost 998 individuals about $236,000, while the newspapers were stiffed to the tune of about $248,000 (including $3,700+ owed to The Des Moines Register) when Davis paid for 700+ ads with rubber checks. Abandoned accounts with negative balances allegedly controlled by Davis accounted for an additional loss of about $83,000 to a half dozen banks.

For more, see Mail fraud suspect rejects plea deal.