New Jersey Man Pleads Guilty To Making False Statements To HUD
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 65-year-old New Jersey resident pleaded guilty today in Wilkes-Barre before U.S. Magistrate Judge Karoline Mehalchick to making false statements and representations in connection with a Federal Housing Administration (FHA) insured mortgage with intent to defraud the Department of Housing and Urban Development.
According to United States Attorney Peter J. Smith, the defendant, Martin Sacci, of South Plainfield, New Jersey, admitted that he knowingly failed to disclose the existence of a second loan made to a borrower in an FHA-insured mortgage for a property located in Long Pond, Pennsylvania. Sacci admitted that he received and cashed payments on the undisclosed loan after the property was sold, and urged the borrower to refrain from disclosing the loan to investigators.
Sacci was charged as a result of an investigation by the Office of Inspector General of the Department of Housing and Urban Development (HUD).
Sacci faces up to one year in prison and a $100,000 fine. Sentencing will be scheduled after a pre-sentence report is completed.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.