Alleged Mortgage Scam Artists Operated Under Names Similar To Legit Firms, Causing Confusion Among Concerned Customers

In Southern California. the Los Angeles Times reports:

• What a difference an "S" can make. A day after state and local prosecutors said they had shut down a mortgage fraud ring involving six Los Angeles companies, businesses with similar names have been caught in the fallout.

• "I'm getting inundated with calls," said Joe Dovarro of Nation Mortgage Inc. -- not the Nations Mortgage Inc. that was accused with five other companies of defrauding thousands of Californians, costing some their homes. "I'm happy they're getting rid of people who are giving our industry a bad name, but, hey, I'm one of the good guys here."

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• At Virtual Escrow Title Technology Solutions, the story is similar. The Orange-based software company has received dozens of phone calls from clients who saw news reports of the alleged fraud ring, which included Virtual Escrow Inc. To make matters worse, owner Randy Lee says his company is commonly known as Virtual Escrow, and its Web address is www.virtualescrow.com. "The news about this fraud scheme in L.A. is causing us enormous problems," Lee said. "One person hears it and they tell someone else. . . . Every title company that we do business with -- they're all concerned."

For more, see Similar names invite confusion in fraud case (A mortgage company's name is just one letter off from that of an allegedly crooked firm).