Central Florida Feds Expect To Bag 100+ Suspects In Upcoming Mortgage Fraud Indictments

In Central Florida, the Bradenton Herald reports:

• Federal authorities are investigating several suspected cases of mortgage fraud in Manatee and Sarasota counties as part of a larger statewide crackdown, the Bradenton Herald has learned. Those investigations are zeroing in on organized groups and industry insiders suspected of defrauding mortgage lenders out of tens of millions of dollars during the housing boom. The cases, part of a crackdown that began in March, could result in criminal charges against more than 100 people locally and throughout Florida later this year.

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• The FBI and U.S. Attorney’s Office in Tampa confirmed the investigations Thursday but declined to discuss specifics other than to say they’re part of a concerted “surge” to combat the growing problem. “We have investigations going on throughout the (middle) district (of Florida), from Naples to Jacksonville and everywhere in between,” U.S. Attorney A. Brian Albritton said. “We’re trying to do as many cases as we can, and I expect it to be over 100 defendants.”

• Albritton said authorities hope to file charges against most of the defendants by November. In some cases, prosecutors have already begun negotiating potential plea deals, he said. The effort already has netted its first convictions: Three people recently received prison sentences of 46 months to 22 years for a $30 million mortgage fraud scheme in Cape Coral that was investigated by the Internal Revenue Service and the FBI.

For more, see FBI investigating local mortgage fraud.