Two Chisago City men were sentenced to five years in federal prison for mortgage fraud and ordered to pay more than $4.8 million in restitution.
Two mortgage loan officers who carried out a scheme involving loans on homes in Albertville, Otsego, Elk River and other cities were sentenced to five years in federal prison Monday. Chad Arthur Anderson, 39, and Troy Allen Huston, 43, both of Chisago City, were sentenced on one count of conspiracy to commit mortgage fraud through the use of interstate wires. Anderson was sentenced to five years, and Huston, just under five years — 57 months. They were also ordered to pay more than $4.8 million in restitution. The loan officers admitted in their guilty plea that they recruited straw buyers, mainly relatives and friends, to purchase properties at inflated prices and then distributed the excess loan money among themselves, the straw buyers…
Less than six months after an Albertville man was sentenced to more than 10 years in prison for fraud, another mortgage fraud case with local ties has hit federal courts.
Monday, April 30, 2012
A federal indictment unsealed Friday charges two mortgage loan officers with recruiting straw buyers to purchase properties at inflated prices and then distributing the excess loan funds among the buyers and between themselves in the form of “kickbacks.” The indictment, which was filed on April 3, 2012, charges Troy Allen Huston, 42, and Chad Arthur Anderson, 38, both of Chisago City, with one count of conspiracy to commit mortgage fraud and eight counts of mortgage fraud through interstate wire. The indictment was unsealed following the defendants’ initial appearance in federal court. The estimated loss to mortgage lenders because of the defendants’ alleged wrongdoing exceeded $1.8 million. Fraudulent real estate transactions purportedly …