Mortgage broker pleads to supplying false income docs
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The Broker News in Australia reported that Queanbeyan broker, Kelvin Skeers, has pleaded guilty to seven fraud charges following an investigation by ASIC.
Skeers, a former mortgage broker with Tonadale Pty Ltd (which traded as ACT Mortgages), was charged with one charge under s126(2) of the Crimes Act 1900 (ACT) and six charges under s347 of the Criminal Code 2002 (ACT) after an investigation into his conduct between December 2003 and September 2005.
The charges relate to Skeers knowingly using false accountants’ letters with the intention of inducing a lender to approve low-doc loans for seven borrowers. Without this false documentation these borrowers may not have successfully secured the necessary finance.
Skeers pleaded guilty to all seven charges in the ACT Magistrates’ Court on 10 October and will be sentenced on 26 November.
The Commonwealth Director of Public Prosecutions prosecuted the matter.
Leicester couple sentenced in fraud cases
Friday, September 26, 2008 at 12:58PM The Leicester Mercury reports that a well-off couple who lived a life of luxury financed by greed and dishonesty have been jailed.Shiraz Ali and Hajirah Khan have each been sentenced to 15 months in prison for a variety of offenses.
Hajirah Khan - Courtesy of Leicester Mercury
Khan (pictured above) was convicted in a number of matters one of which was dishonestly obtaining a mortgage for £149,845 for the family home. She also gave false information to acquire another mortgage.
Khan kept the couple’s four properties a secret by lying on benefit application forms, and hid receiving more than £40,000 rental income from three of the homes, while pocketing almost £28,000 in benefits.Her lavishly-furnished family home has four bathrooms and an expensive kitchen. It had electronically-operated gates, an intercom system, and four flat screen televisions, along with an array of electrical and computer equipment.
At her trial in July, Khan (33) was found guilty of four offences of making false statements to obtain benefit, which she had denied.
Read the full article hereSouthall mortgage broker banned by FSA
Wednesday, September 24, 2008 at 08:26AM Kate Hughes of The Independent reports that the Financial Services Authority (FSA) yesterday banned the latest in a soaring number of mortgage dealers found guilty of submitting fraudulent borrowing applications.
The west London mortgage broker Asim Hussain is no longer permitted to sell mortgages, after the regulator found that he had personally applied for a mortgage through his company based on a heavily exaggerated income declaration, and that 18 other applications on behalf of clients stated significantly altered incomes.
Leicester based mortgage broker arrested
Tuesday, September 23, 2008 at 12:19PM In a warning to consumers the UK’s FSA issued the following warning
“We strongly advise customers not to take mortgage or financial advice from Swati Patel or to give her your personal and financial details. If you have received mortgage or other financial advice from Swati Patel and you are concerned you may be a victim of financial crime please contact us (see below). We believe Swati Patel submitted mortgage applications to lenders through Mortgage Deals 4 U Ltd”
The Financial Times carried the following information showing that Ms. Patel has been arrested by Leicestershire Constabulary.
Robin Gordon-Walker, press officer for the FSA, said: “Leicestershire Police has started an investigation into Ms Patel because she had a number of complaints against her. The allegations are of mortgage fraud and possible misuse of client information.”
Jonathan Reeves, press officer for Leicestershire Constabulary, said: “We can confirm that a 38-year-old woman has been arrested on suspicion of fraud and has been released on police bail pending further enquiries.”
Consumers that took out a mortgage, re-mortgage, or a personal loan through Ms Patel, or in the process of doing so are strongly advised to contact Simon Boden at Leicestershire Police on 0116 222 2222 ext 5194 or Chris Walmsley or Arzoo Azizi at the FSA on 0207 066 5894 or 020 7066 3512.
FSA bans & fines mortgage broker £100,000 for mortgage fraud
Tuesday, September 9, 2008 at 08:57AM In the following press release the UK Financial Services Authority (FSA) announced that Omotayo Fawole was an FSA approved person and sole controller of Oasis Mortgage and Financial Services Limited (Oasis) based in Woolwich, south east London. The six figure fine is aimed at deterring approved persons from becoming involved in mortgage fraud.
FSA Director of Enforcement Margaret Cole said:
“Mr Fawole’s actions were serious and blatant, and he poses an immediate risk to lenders. We have banned a number of mortgage brokers and others this year in connection with mortgage fraud and we will continue to make examples of people who commit mortgage fraud until behaviour changes.
“Perpetrators of fraud will increasingly find themselves facing bans and significant fines, as well as action by the police or other agencies aimed at confiscation of assets.”
The FSA found that Mr Fawole:
- obtained a mortgage after submitting an application which significantly overstated the profits of Oasis and his own income; and
- submitted a mortgage application for an Oasis employee which significantly overstated their earnings.