Industry News

Two Pennsylvania men plead guilty in real estate fraud

Loan officers submitted false mortgage loan applications

Two Pennsylvania loan officers pleaded guilty in federal court to committing bank fraud while working as loan officers at a Monroeville, Pa., mortgage company, according to the office of U.S. Attorney Mary Beth Buchanan. Daniel M. Laffey, 49, of Squirrel Hill, Pa., and Michael D. Altman, 42, of Wilkins, Pa., each face a maximum penalty of 30 years in prison and a fine of as much as $1 million, officials said. The two will be sentenced Feb.17 by U.S. District Judge Gary Lancaster, according to the U.S. Attorney's Office. Between Aug. 15, 2002, and March 28, 2003, Laffey and Altman worked at America's Mortgage Outlet in Monroeville and submitted nine false mortgage loan applications to Flagstar Bank, a federally insured financial institution, the U.S. Attorney's Office said. As a result, Flagstar gave loans to people who wouldn't otherwise have qualified for the loans, officials said. *** What's your opinion? Send your Letter to the Editor to janis@inman.com; (510) 658-9252, ext. 140....

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