Friday, September 9, 2011

Chicago Feds Take Down Dad, Kids With Convictions, Prison Sentences In Ponzi, Phony Home Mortgage Reduction Scams Screwing 2,000 Victims Out OF $10M+

From the Office of the U.S. Attorney (Chicago, Illinois):

  • A Chicago man was sentenced to 15 years in federal prison, after eight-year prison terms were imposed previously for his son and daughter, in connection with a massive "affinity" fraud scheme in which approximately 2,000 victims were swindled of approximately $10.7 million in losses.

  • The father, Roy Fluker, Jr., 56, of Highland Park, who was arrested in Florida where he fled after failing to appear for sentencing last December, received the 15-year term [...] in Federal Court in Chicago.

  • Fluker, his son, Roy Fluker, III, and his daughter, Ronnanita Fluker, were each convicted of multiple fraud counts following a trial in May 2010.(1)


  • All three defendants participated in a scheme between 2005 and 2008 in which they fraudulently obtained approximately $18 million from victims, as well as some victims’ homes, through their operation of companies called All Things in Common, LLC, which did business as More Than Enough, LLC and Locust International, LLC.

  • [In addition to a Ponzi scheme,] Defendants also marketed what purported to be a financial program called the "Housing Program," which they claimed provided a way for people to reduce their mortgage payments and to own their homes clear of any mortgage within five years.

  • The majority of victims were individuals whom Fluker and his children targeted at gatherings in Chicago area churches and hotels. Fluker and his children marketed their programs exclusively to the African-American community.

For the U.S. Attorney press release, see Father Sentenced to 15 Years in Prison, Following Eight-year Terms Imposed on Son and Daughter, for Their Roles in $10 Million Affinity Fraud Scheme That Swindled 2,000 Victims.

(1) Roy Fluker III, 31, was sentenced to eight years in prison, and Ronnanita Fluker, 34, was sentenced to an eight-year prison term last December, according to the press release. A $9 million preliminary forfeiture judgments against all three defendants was imposed and they were ordered to pay $7,336,957 in restitution.

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