DEVELOPER CHARGED IN MORTGAGE SCAM
BOSTON, Mass. - A developer was charged in a superseding indictment today in connection with a multi-year, multi-property mortgage fraud scheme in Massachusetts.
ROBERT H. ODIMEGWU, 43, formerly of Dedham, Massachusetts, has been charged by a Federal Grand Jury with 13 counts of wire fraud and four counts of money laundering.
The Superseding Indictment alleges that in 2005 and 2006, ODIMEGWU committed fraud in connection with multiple condominium sales in Massachusetts. According to the allegations in the Superseding Indictment, ODIMEGWU paid straw buyers to purchase individual units in buildings that ODIMEGWU controlled. The straw buyers’ financing for the purchases was obtained by submitting mortgage loan applications that falsely represented key information, such as the buyers’ income, employment, assets, and/or intention to reside in the condominiums. Deals were closed with HUD-1 settlement statements that falsely represented that straw buyers had made substantial down payments and/or paid significant funds at closings in connection with the property transactions.
Each count of wire fraud carries a maximum sentence of imprisonment up to 20 years, followed by three years of supervised release and a $250,000 fine. Each count of money laundering carries a maximum sentence of imprisonment up to 10 years, followed by three years of supervised release, and a $250,000 fine.
United States Attorney Carmen M. Ortiz, Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, and William P. Offord, Special Agent in Charge of Internal Revenue Service, Criminal Investigation – Boston Field Division, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Ryan M. DiSantis of Ortiz's Economic Crimes Unit.
The details contained in the Superseding Indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
****Mortgage fraud is a key focus of the Department of Justice. The Department of Justice alongside its federal, state and local partners is committed to investigating and prosecuting significant financial crimes. The Department is committed to combating discrimination and fraud in the lending and financial markets, and recovering proceeds for victims of financial crimes.