Nevada AG Bags 3 In Alleged Upfront Fee Foreclosure Rescue Scam; Outfit Accused Of Clouding Title To Homes w/ Bogus Liens To Impede F'closure Process

In Las Vegas, Nevada, the Las Vegas Sun reports:

• Three men have been indicted on theft charges in an alleged foreclosure rescue scam that bilked people out of thousands of dollars to modify loans, the state Attorney General’s office announced [...]. Jason Todd Wilhite, Ronald Quilang and Benjamin Moraleda allegedly operated a document preparation and loan modification business called Rescorp between June 2008 and January 2009 in Las Vegas. Rescorp charged between $1,200 and $2,200 “for loan modification and document preparation services and misled customers by falsely claiming that their services would prevent foreclosures on their homes and/or that they would obtain loan modifications,” according to a statement released by Nevada Attorney General Catherine Cortez Masto.(1)

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• Prosecutors claim the services were never performed, but they also say customers were further defrauded when the men had them sign false documents that gave the men liens on the victims’ homes. Cortez Masto’s office said the documents, which were bogus promissory notes, falsely claimed loans had been made on the properties when in fact no loans had been made. This process allegedly was used to “cloud the title to the home and prevent the legitimate lenders from foreclosing on the victims’ properties.”

For the story, see 3 indicted in alleged foreclosure rescue scam.

For the Nevada AG press release, see Attorney General announces Indictments In Foreclosure Rescue Scam.

(1) Reportedly, Wilhite and Quilang were indicted on three counts of theft by obtaining money in excess of $2,500 by material misrepresentation in violation of state statutes; Moraleda was indicted on four counts of theft by obtaining money in excess of $2,500 by material misrepresentation in violation of state statutes.