Monday, October 06, 2008

Hung Jury Results In Mistrial In Minneapolis Flipping Trial; Prosecution Says They'll Try Again

In Minneapois, Minnesota, the Minneapolis Star Tribune reports:

  • A mistrial was declared late Friday when a Hennepin County District Court jury said it was unable to reach a verdict after more than three days of deliberations in an alleged mortgage fraud ring. Susan E. Newell of Minneapolis was charged with a dozen counts of theft by swindle and one of racketeering. Prosecutors intend to try her again. Her alleged partner, Edward L. Boler, is to be tried in January. The cases were separated by a defense request to District Judge Lloyd Zimmerman shortly before the trial began.


  • The prosecution grew out of an arson finding by county investigator Glen Miller after a house burned in January in Brooklyn Center. Miller found that the property was one of six in foreclosure and one of seven that had been purchased in a short time by Brian White.

  • That led investigators to Demetrius Winston, who bought five properties in a two-week period. They say that Newell recruited the buyers and that Boler obtained mortgage loans based on fraudulent applications. Newell, Boler and each buyer split the proceeds resulting from obtaining a mortgage greater than the property's cost, according to a complaint.

For more, see Hennepin County mortgage fraud trial ends with a mistrial (A jury deliberated more than three days on the charges against Susan Newell. Prosecutors say they will retry her).