In Australia recently, a law firm charged with conspiracy, is getting it’s day in court. While sometimes attorneys find themselves in court daily, this time, the attorney’s for this firm are actually accused of real estate fraud.
Two former lawyers are accused of running a real estate mortgage scheme, calling for people to “invest” in properties, and pay interest for property loans that hey didn’t own. Further, they are accused of loaning people having financial difficulties money to buy property, in essence running unsecured mortgage fraud operations from their firm. Interest payments on property loans the two attorneys acquired were said to cause the pair to be “financial stretched”. To get out of paying the debt themselves, they solicited investors who were to pay the interest on the loans, or who would borrow against the properties, for cash.
Both attorneys plead not guilty.
Wow! The mortgage industry should move to a licensed structure that will regulate transactions. Someone should be held accountable for destroying the lives of people chasing the american dream.
Posted by: DRichmond | September 20, 2007 1:29 PM | Permalink to Comment