In the following May 16, 2008 press release the United States Attorney’s Office in the Northern District of Indiana announced that a one-count Information was filed against   ROBERT C. CULP, 43, of New Carlisle, Indiana, alleging one count of bank fraud.

Robert C. Culp
Picture courtesy of WBST TV

The Information charges Culp with devising and executing a scheme to defraud mortgage lenders and to obtain moneys, funds, credits, and other property owned by or under the custody or control of mortgage lenders by fraudulent pretenses and representations. The Information charges that Culp purchased inexpensive homes, frequently in need of substantial repair and renovation, and then arranged to sell these properties at inflated amounts to persons who obtained mortgage loans based upon falsified mortgage loan applications. Culp faces maximum penalties of up to 30 years imprisonment and a $1,000,000 fine if convicted.

These charges were filed as the result of an investigation by the Federal Bureau of Investigation. This case has been assigned to and will be prosecuted by Assistant United States Attorney Donald J. Schmid. The specific sentence in each case to be imposed upon conviction will be determined by the judge after a consideration of federal sentencing statutes and the United States Sentencing Guidelines.

The United States Attorney’s Office emphasized that an Information is merely an allegation and that all persons charged are presumed innocent until and unless proven guilty in court.

Update on Wednesday, October 1, 2008 at 9:27AM by The Editor - Ian Shuter - ACFE, DMS

WNDU 16 TV reports that Linda Riffle will plead guilty in this case. Riffle is said to have helped find people to act as buyers for dozens of homes that were sold for far more than they were worth. It is alleged that she was paid $300 per home she found buyers for.

Update on Wednesday, October 1, 2008 at 9:30AM by The Editor - Ian Shuter - ACFE, DMS

WSBT 2 reports that U.S. District Judge Robert L. Miller Jr. sentenced William DePalma, owner of a home remodeling company, to serve three years on supervised release after his prison sentence and to pay $225,000 in restitution.

DePalma had previously pleaded guilty and assisted in the prosecution. He too was paid a fee by former Police Officer Robert Culp to find buyers for properties with inflated valuations.

Update on Friday, March 13, 2009 at 1:46PM by The Editor - Ian Shuter - ACFE, DMS

WBST TV News is reporting that Robert Culp was sentenced to 4.5 yrs imprisonment. It is reported that Culp’s attorney, Martin Kus, had asked U.S. District Judge Robert L. Miller Jr. for leniency, claiming Culp actually lost money on the scheme, but the judge disagreed, ruling that federal case law required him to base his sentence on an estimated $2.5 to $7 million loss to mortgage lenders.

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