Industry News

Real estate fraud ringleader sentenced to prison

28 defendants indicted in mortgage loan scheme in Colorado

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The ringleader of a mortgage borrowing fraud organization has been sentenced to federal prison, William J. Leone, acting U.S. Attorney for the District of Colorado, announced last week. Roderick Wesson, 42, was sentenced to 14 months in federal prison for conspiracy to defraud the United States for his role in implementing a scheme in which certain mortgage lenders, real estate agents and borrowers lied in order to finance home purchases. Wesson also was ordered to pay $142,434 in restitution. "Falsifying information in order to fraudulently obtain a mortgage loan is a crime, and those involved in mortgage loan processing should know that the United States Attorney's Office will continue to vigorously prosecute those who engage in this type of conduct," Acting U.S. Attorney Leone said in a statement. Wesson and 27 others were indicted by a federal grand jury in Denver on Feb. 24, 2004, charged with conspiracy to defraud and making false statements to Department of Housing and Urb...