The Internal Revenue Services website reports that on April 11, 2007, in Charlotte, NC, Charles M. Gabriel, Jr., was sentenced to 46 months in prison and ordered to pay $278,367 in restitution. Gabriel pleaded guilty in December 2004 to one charge of conspiracy to defraud the United States.

According to the Bill of Information, Gabriel created and used entities known as Southern Investment Properties, JW Settlement Services, SB Homes Carolina, DRE Settlement Services and NVG Carolina to induce prospective real property buyers to provide them with credit information in order to purchase real properties.

Gabriel and his co-conspirators used a variety of methods to defraud mortgage lenders and real estate investors, including inflating the purchase price purportedly paid by buyers in obtaining mortgage loans in the name of those buyers. As part of this scheme, lenders lost approximately $2.4 million.

Click here for the Criminal Information.