Virginia Man Gets 2+ Years In Equity Stripping, Refinance Scam

In Henrico County, Virginia, the Richmond Times Dispatch reports:

• Raymundo Geraban pitched a familiar spiel, promising that he meant to pay back tens of thousands of dollars lost in mortgage deals he arranged. But [this week], Geraban, 37, was talking to Henrico Circuit Judge George F. Tidey, a solemn, white-haired figure with fragile patience, instead of a distressed, unwary homeowner. The judge didn't buy the pitch and sandbagged defense pleas that Geraban be spared prison time; the restaurant waiter turned investment adviser will serve 2½ years.

***

• Geraban pleaded guilty in July to charges of grand larceny, conspiracy and making false statements in a loan application in connection with properties he handled in Henrico. He would pay homeowners a few thousand dollars and would promise to refinance their homes after taking control of the deed, [Henrico Commonwealth's Attorney Wade] Kizer said. Kizer said Geraban did not keep up the mortgage payments and allowed the homes to go into foreclosure, in at least one case plundering the equity value of the home for his own use.

For more, see Judge sentences man to prison for defrauding struggling homeowners.