Justice Department Uncorks 'Operation Malicious Mortgage'
The Justice Department announced that it has been quietly conducting a nationwide sweep of the real estate industry for the past three and a half months, dubbed “Operation Malicious Mortgage.” So far it has charged 406 defendants with mortgage fraud in 144 cases, Deputy Attorney General Mark R. Filip said at a news conference this afternoon, and the fight against white-collar crime is far from over.
Yesterday alone, 60 people were charged in Chicago, Miami, Houston; and arrests continue today.
“Operation Malicious Mortgage and the Bear Stearns case demonstrate that the Department of Justice is determined to detect and to punish mortgage fraud and help restore stability and confidence in our housing market,” Mr. Filip said. “While the law, of course, cannot dictate economic outcomes or protect individuals from bad investment decisions or unlucky breaks, it does protect them from fraud.”
We have a call into the DOJ to figure out if any of the alleged perps are from the Big Apple.
16 Park Avenue
"On the corner of Park Avenue & 35th Street, in the heart of Murray Hill... " More details |
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This is an unforturnate outcome. It is so sad that the housing market is where it is today. Everyone is involved, from the mortgage companies and brokers, to the real estate practitioners, to the real estate attorneys (I'm in New York City), to the consumers. Though some were completely lied to, many knew that something fraudulent was going on. What is even worse is that it took the Department of Justice so long to uncover the injustice! At this point, there is not much that can be done, but move on and learn from the errors that have been made. I wish people would stop thinking that there is going to be a knoght in shining armor that will come to save the entire country. Each of us need to be responsible for our actions and take the little steps towards saving ourselves and our families.