Three Los Angeles Mortgage Brokers Arrested

The brokers are accused of stealing about $1 million from borrowers seeking to adjust their mortgages.

California’s attorney general claims this is a case of grand theft.

Dozens of home owners were apparently lured into refinancing with promises of low interest rates. The brokers snagged some nice fees and Bob’s your uncle.

Folks would agree to one type of mortgage and then the brokers, say the AG, would forge their signatures on different loan documents.

The Los Angeles Times reports:

Borrowers would agree to one set of terms, investigators said, but the mortgage brokers would then accept different terms from lenders and forge their clients’ signatures on the new documents. This allowed the brokers to increase the size of the loans and pocket the difference in the form of fraudulent fees, the attorney general’s office said.

The differences in the loan amounts borrowers thought they were getting and what they actually got were taken by McConville, Holdridge and Ruiz as origination and brokerage fees, ranging from $20,000 to $57,000 each, the documents said.

Only when the borrowers received their loan documents, after the refinance had been finalized, did they discover that their names had been forged and that they owed the lenders money they hadn’t agreed to, court documents said.

About Luke Ford

Raised a Seventh-Day Adventist at Avondale College in Australia, Luke Ford moved to California in 1977. He graduated from Placer High School in 1984, reported the news at KAHI/KHYL radio for three years, attended Sierra College and UCLA, was largely bedridden by Chronic Fatigue Syndrome for six years, and converted to Judaism in 1993. From 1997-2007, Luke made his living from blogging. Living by Beverly Hills (Alexander90210.com), he now teaches the Alexander Technique (moving the way the body likes to move). Lessons cost $100 each and last about 45 minutes. In 2011, Luke completed a three-year teaching course at the Alexander Training Institute of Los Angeles. His personal Alexander Technique website is Alexander90210.com. Luke is the author of five books, including: » The Producers: Profiles in Frustration » Yesterday’s News Tomorrow: Inside American Jewish Journalism
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