Raleigh Resident Pleads Guilty To Loan And Insurance Fraud
GREENVILLE – United States Attorney Thomas G. Walker announced that today in federal court, TERESA LYN FLETCHER , age 54, of Raleigh, North Carolina pleaded guilty before United States Magistrate Judge Kimberly A. Swank to two counts of bank fraud and one count of mail fraud. At sentencing, FLETCHER faces a statutory maximum of 80 years imprisonment, a $2,250,000 fine, 5 years of supervised release, and $300 in special assessments.
“Teresa Fletcher’s fraudulent conduct in this case was rooted in greed and propelled by deceit. The fact that Fletcher preyed on these companies one after another to fund her lifestyle reflects a disturbing disregard for the kind of fair and honest dealing required of customers seeking loans, insurance, and other valuable financial services. Those who would violate that trust for their own gain, as the defendant did here, will not go unnoticed by federal law enforcement and be prosecuted accordingly,” stated Assistant United States Attorney Adam F. Hulbig.
“This case is a fine example of the extent to which some will take to fraudulently manipulate our financial institutions,” said U.S. Secret Service Resident Agent in Charge Robert Trumbo. “The Secret Service along with our law enforcement counterparts remain vigilant in protecting those financial institutions and pursuing those who wish to take advantage of those institutions.”
According to the investigation, charging documents and statements made in court, FLETCHER engaged in separate schemes to defraud Bank of North Carolina, TD Bank, and Liberty Mutual Insurance over a 10-month span in 2013.
In January 2013, FLETCHER provided false information about her income and assets to Bank of North Carolina in order to obtain a personal loan. Among other things, FLETCHER falsified her credit application and submitted bogus wage records. After Bank of North Carolina approved the loan based on FLETCHER’s fraudulent representations, FLETCHER proceeded to rapidly dissipate the loan proceeds without making a single payment towards the balance. When the loan went into default, FLETCHER filed a false identity theft report with Equifax claiming that the loan account had been opened by someone other than herself.
In February 2013, FLETCHER closed on the purchase of a $1.85 million residence in Raleigh. To finance the purchase, FLETCHER applied to TD Bank for over $1.65 million in loans. Throughout the loan approval and underwriting process, FLETCHER gave false information to TD Bank about her financial health and the nature of the sales transaction. Among other things, FLETCHER completed a loan application in which she falsified her cash assets, provided TD Bank with fake Forms W-2 reflecting grossly inflated wages, and fraudulently represented in the settlement statement (HUD-1) that she had received a “gift of equity” to be applied to the purchase price, when, in fact, it was a concealed side loan. After defaulting on her loan obligations to TD Bank, FLETCHER submitted a false identity theft report to Experian in an effort to prevent the negative item from appearing on her credit report.
From approximately May 2013 to October 2013, FLETCHER repeatedly made false claims against her Liberty Mutual Insurance homeowner’s policy for reimbursement of expenses she allegedly incurred to repair the residence after a spring storm hit the area. In furtherance of her scheme, FLETCHER routinely doctored records from contractors and vendors and provided them to Liberty Mutual to support her claims.
Investigation of this case was conducted by the United States Secret Service. The prosecution is being handled by Assistant United States Attorney Adam F. Hulbig.