Former Sacramento Area Man Sentenced To 30 Months In Mortgage Fraud Scheme

SACRAMENTO, Calif. — Alexander A. Romaniolis, 48, of Irvine, was sentenced today by United States District Judge Troy L. Nunley to 30 months in prison and a $17,500 fine, and forfeiture of over $400,000 for mortgage fraud, United States Attorney Benjamin B. Wagner announced.

According to court documents, Romaniolis recruited five straw buyers to purchase eight California residential properties in Rocklin, Roseville and San Clemente. Romaniolis assisted the straw buyers in providing false information to lenders about their employment, income, assets, and intent to occupy properties as primary residences. In most cases, the straw buyers claimed to be executives of companies created and controlled by Romaniolis. He was responsible for the origination of more than $5 million in residential mortgage loans in the scheme. All of the properties were foreclosed on, resulting in a total loss of more than $2 million.

At sentencing, Romaniolis asked to be released for a short period so he could see his family before completing his sentence.  Judge Nunley denied that request.

This case is the product of an investigation by the Federal Bureau of Investigation and the California Attorney General’s Mortgage Fraud Task Force. The Huntington Beach Police Department assisted in the arrest. Assistant United States Attorneys Jean M. Hobler and Jeff Spivak prosecuted the case.