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FOR IMMEDIATE RELEASE |
Jan. 8, 2008
MISSOURI WOMAN PLEADS GUILTY TO BANK FRAUD CONSPIRACY IN KANSAS
KANSAS CITY, KAN. – Judy Brumble, 58, Lee’s Summit, Mo., pleaded guilty Monday to one count of conspiracy to commit bank fraud and money laundering.
In her plea, Brumble admitted she participated in a conspiracy with builder F. Jeffery Miller, real estate agent Todd Earnshaw and others to commit bank fraud and money laundering.
According to her plea:
– Brumble worked for Miller and Earnshaw at Maplewood Real Estate. She processed sales contracts, compiled loan application information and assisted in real estate closings. Working at the direction of Earnshaw and Miller, she worked closely with buyers of homes built by Miller.
– In October 2000, Miller entered in a consent judgment with the Kansas State Bank Commissioner agreeing not to employ Earnshaw or Maplewood Real Estate and Maplewood Mortgage as a real estate agent or mortgage broker. Also in 2000, Earnshaw entered into a consent agreement prohibiting him from engaging in the mortgage business in Kansas.
– Soon after, Miller approached Brumble about becoming a real estate broker and opening a company called Classic Realty, Inc. so Earnshaw could continue to market and sell homes built by Miller and Earnshaw. After Classic Realty was formed, Earnshaw continued to advertise the sale of Miller homes in Kansas and to offer mortgage services. Earnshaw sold homes through Classic under the name Midwest Developing and co-defendant Steve Middleton sold homes through Classic under the name Somerset Homes.
– Brumble managed a Web site for Maplewood Real Estate and marketed homes for Miller, Earnshaw and Middleton. On the Web site, she offered mortgage services.
– In April 2002, the Kansas Banking Commission forced Classic Realty to close and Brumble entered into a consent agreement forbidding her from conducting mortgage business or participating in any real estate transactions with Miller in Kansas.
Brumble faces a maximum penalty of 5 years in federal prison and a fine up to $250, 000. She is scheduled for sentencing April 7.
Brumble was one of seven people named in an indictment including:
– F. Jeffrey Miller, Todd Earnshaw, Brian Rouse, James Moser and Lanny Ross, who are awaiting trial.
– Steve Middleton, who pleaded guilty and is scheduled for sentencing March 24.
U.S. Attorney Eric Melgren commended the Internal Revenue Service’s Office of Inspector General, Housing and Urban Development’s Office of Inspector, Assistant U.S. Attorney Richard Hathaway and Assistant U.S. Attorney Christine Kenney for their work on the case.
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