12 Jan Conspiracy: Making False Statements to Banks
Also in Tampa, Florida, two people pleaded guilty to conspiracy for making false statements to financial institutions.
It happened like this: From 2006 until 2008, Mordechai Boaziz was converting an apartment complex into a condominium complex and hired Jonathan Marmol to market the units. But they wanted to attract unqualified buyers, so they offered to pay the down payments (known as cash-to-close). When dealing with the financial institutions, they intentionally concealed the cash-to-close payments made on behalf of the buyers.
They told the financial institutions that the buyers brought their own cash-to-close funds to buy the condos, and this influenced the mortgage loan approvals. According to this article., “In reality, Boaziz funded the buyer’s cash-to-close and routed the payments through Marmol and others.” The financial institutions sustained a total loss of approximately $5 million.
They each face up to 5 years in federal prison.
To learn more, check out this article.