Philly Feds Pinch Closing Agent For Allegedly Using Escrow Account That Held Proceeds From Real Estate Transactions As His Personal Piggy Bank While Leaving Over $2.9 Million In Mortgages Unpaid

From the Office of the U.S. Attorney (Philadelphia, Pennsylvania):

• Alfred Drechsel, 47, of Voorhees, NJ was charged by Information with one count of wire fraud in connection with a scheme that defrauded borrowers and title insurance companies, announced United States Attorney Zane David Memeger.
  
  Drechsel was an owner of Lenders Edge Settlement Services, LLC, (“Lenders Edge”) and Integrity Assurance Inc. (“Integrity Assurance”), located in Feasterville, PA. The information alleges that Drechsel, who was responsible for making the loan disbursements, diverted settlement funds into various Lenders Edge and Integrity Assurance bank accounts and used the diverted loan proceeds to pay off other unrelated mortgages, to pay other business expenses, and for personal expenditures.
  
  According to the information, the total amount of mortgages that the defendant failed to pay off as required by the settlement statements was approximately $2,919,186.61.

Source: Bucks County Settlement Agent Charged With Stealing Funds.

For the formal charges, see USA v. Drechsel.