Eastern Pennsylvania Man Pocketed $655K+ In Sale Proceeds On Properties He Didn't Own & $168K Due To Investors, Feds Charge

In Doylestown, Pennsylvania, the Allentown Morning Call reports:

• A 36-year-old Bucks County man is facing federal charges in a real estate investment scheme prosecutors say bilked investors of nearly $1 million. Roman R. Fitzmartin, former operator of the Doylestown Investment Group, was charged with mail fraud in a two-count information [...]. According to the U.S. Department of Justice, Fitzmartin sold interest in three properties -- two of which he did not own -- and diverted the money to his own accounts instead of paying investors, who lost a total of $872,719.(1)

• Fitzmartin allegedly sold equity interest in a commercial property [...] in Doylestown and a piece of land in Douglassville, Berks County, but he did not have a stake in either property. Federal authorities say he received $655,000 for both properties. He also sold a property he owned at [...] in Doylestown and allegedly kept $168,763 that should have been paid to investors, authorities said.

For more, see Doylestown man charged with real estate fraud.

(1) For additional background on Fitzmartin's real estate operation, see this 4/11/2007 Pennsylvania Securities Commission press release: Commission Halts Unregistered Activity By Doylestown Investment Group, LLC and Roman Fitzmartin:

• The Pennsylvania Securities Commission issued a Summary Order to Cease and Desist against Doylestown Investment Group, LLC (DIG) and Roman Fitzmartin (Fitzmartin) to halt the offer and sale of unregistered securities in Pennsylvania. MIG, an entity with an address in Doylestown, Pennsylvania, is purportedly in the business of purchasing, developing, and managing various real estate properties, and maintains a web site at www.digdevelopers.com (Web Site). Fitzmartin, an individual with an address in Doylestown, Pennsylvania, was the president of DIG.