Couple Seeking To Make Some Extra Cash Left Holding The Bag In Straw Buyer Deal; Schemes Begin Unraveling As Economy Tanks

In Calgary, Alberta, The Calgary Herald reports:

• About two years ago, in a lawyer's office, Linda put her signature on a document she believed would help someone buy a house. She thought it was an easy way to make some money,(1) while doing good for someone she understood just needed her "good name" to get a leg up.

• But the small act of putting pen to paper has left Linda and her husband Rick (not their real names) on the hook for a house trashed by its tenants and facing a $100,000 lien on the home they've lived in for a decade. The couple are part of a growing group of Calgarians who have fallen victim to a common mortgage fraud scheme known as "straw buyer."

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• As the economy falters, mortgage fraud schemes are starting to unravel, said Sgt. Shawn Goertzen of the Calgary police's commercial crime unit. Goertzen said there have been several phone calls recently from people finding themselves in the exact same situation as Rick and Linda. But, for every one case that comes to the attention of officials, there are many more.

For more, see Mortgage frauds on the rise in Calgary (Scams start to unravel as economy falters).

(1) According to the story, Linda pocketed $3,000.