Upstate NY Couple Charged In Alleged "Shotgunning" Mortgage Fraud Scam As Multiple First Mortgages Are Obtained On Same Properties

In Saratoga Springs, New York, The Business Review reports:

• A Saratoga Springs couple is accused of stealing $2.5 million from several banks in a mortgage scheme in which they obtained multiple first mortgages on six properties they bought more than two years ago. Stephen Sutliff, 37, and his wife Nikole Sutliff, 32, [...] were [...] charged with nine counts each of grand larceny and one count each of conspiracy in Saratoga County Court, according to the Albany County District Attorney’s office which is prosecuting the case.

• Financial Crimes Bureau Chief Chris Baynes said he has never seen a scheme involving so many properties and so many mortgages obtained on the same day. Baynes said the Sutliffs legally closed on four Saratoga Springs properties on March 27, 2007, and later that day obtained between seven and eight mortgages worth $250,000 to $300,000 apiece.

• According to prosecutors, Nikole Sutliff allegedly acted as a mortgage broker and worked in concert with a third party who acted as the settlement company representing several banks. Baynes said the Saratoga County resident who worked in conjunction with the Sutliffs is expected to be charged at a later date. All of the banks were operating under the understanding that they were issuing first mortgages and held the primary position in securing the home, Baynes said. The Sutliffs also allegedly carried out the same scheme a few weeks earlier when they closed on two other Saratoga Springs properties, Baynes said.

For the story, see Saratoga couple accused in $2.5 million mortgage scheme.