Monday, March 12, 2012

Loan Modification Racket Operator/Church Pastor Gets Four Years In Foreclosure Rescue Ripoff; Congregation Members Among Those Targeted In Scam

In Sacramento, California, The Sacramento Bee reports:

  • An Elk Grove man has been sentenced to four years in state prison for illegal conduct in loan modifications. Rodney Andrews, 57, pleaded no contest last month to embezzlement, theft by false pretenses, diversion of construction funds and unlawful use of personal identifying information. He was sentenced [] by Sacramento Superior Court Judge John Winn.

  • At the time he committed the offenses, Andrews operated a company known as Andrews Investment Group, which offered loan modification services. He was also a pastor at the Comeback Christian Church, where he solicited members of the congregation and low-income property owners to refinance their homes, lower their mortgages or stall out their foreclosures, according to a Sacramento County District Attorney's Office news release.

  • Authorities said he collected upfront fees in violation of a statues passed by the California Legislature to prevent individuals from preying on vulnerable home owners facing foreclosure or unaffordable mortgage payments. He also failed to provide proper notification as required by law, did not provide the services he promised and did not use the funds he obtained for the represented purposes.

  • The case was investigated and prosecuted by the Sacramento County District Attorney's Office Real Estate Fraud Unit.

Source: Elk Grove man headed to prison for loan modification activities.

No comments: