Maryland broker found entirely guilty of fraudulent loans

In exchange for considerations; a Maryland broker of mortgages has admitted guilt in fraud charges. The charges are federal. The United States Attorney’s office for Maryland is heading up the charges. These charges come from dozens of deceitful and phony mortgages and loans. This is an excellent example of why you need to exercise caution when applying for personal loans and mortgages. Be sure to have a look at the loan provider thoroughly.

Mortgage fraud in Maryland

Several counts of mail fraud are what Maryland mortgage broker Douglas Skibicki pleaded guilty to. According to Skibicki, he "participated in a scheme to defraud lenders, family members, and banks." He ended up getting mortgages for himself and for others. In order to do this, he lied. Fraudulent appraisals, many times for empty lots, were made also with an appraiser that worked with Skibicki.

Families lost out with installment loans

The Maryland installment loans that Skibicki brokered were originally intended for families and businesses. Properties would take out the loans in order to refinance mortgages. Also, more financing on existing properties was taken out. Empty lots would end up getting loans. Some would have minimal structures there. However, appraisals indicated that there were three and four bedroom homes worth hundreds of thousands of dollars. Skibicki got loans for families that they couldn't realistically pay back. The mortgage lenders and banks got false documentation.

Mortgage fraud giving a punished

Though the mortgage fraud Skibicki has been charged with cost millions of dollars, he has been charged with mail fraud. A cease and desist order has also been issued against Skibicki, preventing him from ever doing business in the short-term loan, financial, or mortgage industry again. Lenders got mortgage forms from Skibicki in the mail. That is why there is a sever mail fraud charge. April of this year will be when he is going to be sentenced. In fact, he may end up getting fined twice the amount of gains he received, would have to forfeit the $1.4 million in property gains he had and may be in prison for 20 years.

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