Four Indicted In Alleged Foreclosure Rescue Scam; Distressed Homeowners Seeking Loan Modifications Signed Over Title To Homes To Defendants: SD DA

In San Diego, California, The San Diego Union Tribune reports:

• A foursome involving a convicted felon and pair of real estate brokers has been indicted and charged with running an investment scam that preyed on San Diego Filipinos. The group, which was first investigated last March by The San Diego Union-Tribune, faces more than 54 charges, including foreclosure consultant fraud, grand theft and securities fraud. The group persuaded families to transfer ownership of their homes to two trusts, with the promise of helping modify and lower their mortgages.

• Defendants Edmundo Rubi, 52, and Joseph Encarnacion, 59, are scheduled to be arraigned Tuesday in San Diego Superior Court. Defendants Ben and Gloria Hebron, ages 51 and 53 respectively, are scheduled to be arraigned Thursday. The group was investigated by the FBI and the San Diego County District Attorney's Office. The indictment was handed down by the grand jury on Dec. 21, but was sealed until [January 11].

Source: Four indicted in foreclosure case (DA says they preyed on Filipinos, promising loan modifications).

For follow up story, see Four plead not guilty to fleecing homeowners (Trial to center on defrauding of 22 property owners).