Straw Purchaser Sentenced
Kevin Scott Wiebe Submitted Knowingly False Documents in Exchange for $5,000
LYNCHBURG, VIRGINIA -- A local man who knowingly submitted false mortgage documents as part of a broader fraud, was sentenced this afternoon in the United States District Court for the Western District of Virginia in Lynchburg.
Kevin Scott Wiebe, 28, of Lynchburg, Va., previously waived his right to be indicted and pled guilty to a one count Information charging him with misprision of a felony pertaining to bank fraud by obtaining a mortgage loan by submitting false information in loan documents.
This afternoon in District Court, Wiebe was sentenced to two years probation. In addition, Wiebe will be ordered to pay approximately $400,000 in restitution at a future date.
According to evidence presented by Assistant United States Attorney Charlene Day, Wiebe worked for Timothy Brooks and Adam Spruill as an office manager. Brooks and Spruill have previously pled guilty to operating a scheme to find credit worthy individuals, or straw buyers, to apply for property loans and/or construction loans. The straw buyers were instructed to falsify loan applications to purchase lots and to obtain construction loans.
Wiebe, knowing his actions were illegal, was a straw buyer for Brooks and Spruill and received a $5,000 “good faith” payment for obtaining a loan. In his loan documents, Wiebe falsified his monthly income, created and produced his own Verification for Rent, falsified his employment and inflated his bank account information.
The investigation of the case was conducted by the Federal Bureau of Investigation, the United States Postal Inspection Service and the Internal Revenue Service. Assistant United States Attorneys Charlene Day and C. Patrick Hogeboom III are prosecuting the case for the United States.