NY Mortgage services provider convicted of $38 million fraud conspiracy.
New York-based mortgage elimination company owner Jacqueline Graham was convicted of participating in a conspiracy. This conspiracy included bank fraud, wire fraud, and mail fraud. The targets of the scheme was homeowners with problem mortgages. All this went down during the deep crisis in the housing market. The money charging various fees from the clients looking for help with their mortgage issues. These perpetraitors knew their clients risk profiles well and leveraged this knowledge with criminal intent.
Graham, now a convicted felon, was working closely with partners Bruce Lewis and John Ruzza. The company name was Terra Foundation, formerly also known as Pillow Foundation. The company would create and use illegal paperwork to perform audits on the clients’ mortgages. They were able to defraud the clients, county clerks’ offices, and banks by falsely acting for the banks and mortgage lenders. Lewis or others would file a purported mortgage discharge. When the title search would show that the clients’ mortgage was satisfied, the client would pay their fee. After that, the company would reinstate the leases.
This fraud cadre filed over 60 fraudulent discharges in New York, and in Connecticut. With the fraudulent discharge claims, they stole or wrecked a total loan principal of nearly $38 million. This ugly and very personal fraud included other people from the company to thieve in the scheme. Two other named perpetraitors included Rocco Cremele and Paula Guadagno. Cremele was Terra’s director of operation, whose job was recruiting clients. Guadagno filed the discharges on Terras’ behalf. The company lawyer and CPA Anthony Vigna also had a major role in the ruination of so many victims’ hopes and dreams of owning their own home.
Jacqueline Graham, 53, was convicted of one count of conspiracy to commit bank fraud, wire fraud and mail fraud. He and the other co-conspirators are facing up to 3-30 years in prison for participating int he scam. The defendants are awaiting sentencing.