July 27, 2010

MORTGAGE FRAUD SENDS KANSAS CITY WOMAN TO PRISON

KANSAS CITY, KAN. – Emma Jean Holmes, 52, Kansas City, Mo., has been sentenced to 12 months and one day in federal prison on mortgage fraud charges, U.S. Attorney Lanny Welch said today.

Holmes was tried in U.S. District Court in Kansas City, Kan., and found guilty March 5, 2010, on one count of conspiracy to commit mortgage fraud, one count of mail fraud and one count of money laundering. Co-defendant Wildor Washington, Sr., was tried and found guilty Feb. 26, 2010, on the same counts.

During trial, prosecutors presented evidence that Holmes and Washington devised a scheme to obtain mortgage loans by submitting loan applications that grossly overstated Holmes’ income, falsely stated that Holmes intended to live in the homes, and falsely stated Holmes was using her own money to make the down payment. In fact, Holmes never intended to occupy the properties and the money for the down payment was coming from other conspirators. Holmes applied for loans on properties in the 7900 block of W. 155th Place in Overland Park, Kan., the 7800 block of W. 155th Pace in Overland Park, Kan., and the 15700 block of Birch Street in Overland Park, Kan. On the applications, she claimed to have a monthly income of more than $7,800 to $8,300 when in fact her income was approximately $3,000 a month.

Welch commended the Internal Revenue Service, the U.S. Secret Service, the U.S. Trustee’s Office, the Johnson County Sheriff’s Office, Assistant U.S. Attorney Chris Oakley and Assistant U.S. Attorney Marietta Parker for their work on the case.