JOINT FEDERAL-STATE INVESTIGATION LEADS TO INDICTMENTS NAMING 14 LINKED TO MORTGAGE FRAUD IN VENTURA COUNTY

 

FORM: Thom Mrozek

Public Affairs Officer

US Department of Justice

VENTURA, California - Federal and local authorities this morning arrested 13 individuals linked to mortgage fraud operations that filed fraudulent loan applications with several banks and other lenders, generated millions of dollars in loan fees and real estate commissions, and caused millions of dollars in losses when the homes went into foreclosure because the purchasers were unable to make their monthly payments.

    Those arrested this morning are among 14 charged in two federal indictments that were returned last week by a federal grand jury in Los Angeles. The indictments outline schemes in which real estate professionals prepared mortgage applications that contained false information about borrowers' income, employment, assets, and intent to occupy the properties. In the first case, which names 10 defendants, investigators estimate that the conspiracy was responsible for banks funding at least $25 million in mortgages. In the second case, which names four defendants, authorities believe that banks funded at least $10 million based on fraudulent loan applications.

    The defendants in these cases generated huge commissions and fees through the mortgage application process, with the largest commissions coming when the banks approved loans and paid "yield spread premiums" or "rebates" to mortgage brokers who convinced borrowers to seek high-risk "option ARM" and similar mortgages that started with low monthly payments that dramatically increased after the "teaser" period, leaving many borrowers unable to make their payments.

    Today's arrests were announced at a press conference hosted by Ventura County District Attorney Greg Totten, whose office first began the investigation. “The criminal conduct that is the basis of today's federal indictments is our own Ventura County example of the greed, avarice and fraud that drove much of this nation’s real estate meltdown,” Mr. Totten said.

    The Ventura mortgage fraud cases led to arrests on the same day authorities announced a series of federal criminal and civil actions being filed in Southern California as part of a national mortgage fraud crackdown.

    “Today we have seen arrests here in Ventura,” said United States Attorney André Birotte Jr. “In recent weeks, we have brought criminal cases alleging mortgage fraud all across the region – from Orange County to the Inland Empire and certainly in Los Angeles County. The perpetrators range from professionals in the industry – people like real estate agents and mortgage brokers – to individual borrowers who wrongly thought they could game the system.”

    The first indictment in the Ventura County takedown involves individuals who did business under the name of Mortech Financial, where employees allegedly helped prepare fraudulent mortgage applications to make it appear that borrowers were qualified to obtain and repay loans. The applications were rife with false information, such as false employment, inflated income, and references to bank accounts that the borrowers did not actually hold, but which had been "seeded" by the defendants with funds to make it appear that the borrowers had qualifying assets, according to the indictment. Real estate agents and tax preparers worked with Mortech Financial employees to locate buyers and prepare false documents that were used in the fraudulent mortgage application packages. The indictment charges the 10 defendants in two conspiracies and in various counts of bank fraud and making false statements to financial institutions.

    The first indictment charges:

·    Rosa Amelia “Rosie” Fernandez, 34, of Camarillo, who worked at Mortech Financial;

·    Raul Rocha, 37, of Camarillo, Fernandez’s brother, who worked at Century 21 Premier Hills and Estates;

·    Luis Ramos, 40, of Camarillo;

·    Rogelio Vega, 43, of Oxnard;

·    Patricia Vega, 43, of Camarillo;

·    Leticia Hernandez, 38, of Santa Paula;

·    Eduardo Magdaleno, 62, of Ventura;

·    Richard Ceniseroz, 57, of Oxnard, who is believed to be traveling abroad;

·    Lilibell Meza, 34, of Fillmore; and

·    Eduardo Reyes, 33, of Oxnard.

    All of the defendants in this case face potential sentences of hundreds of years in federal prison if they are convicted of the charges in the indictment. For example, if convicted of all charges, Fernandez would face a statutory maximum penalty of 935 years in prison.

    The second indictment involves Platinum Power Mortgage in Oxnard, which also allegedly submitted fraudulent loan applications on behalf of borrowers who in many cases lacked the employment, income, and assets to qualify for mortgage loans. In order to convince banks to approve mortgages, the operators of Platinum Power allegedly prepared applications that contained false statements and omitted relevant facts to make it appear, for example, that a borrower was self-employed with high income.

   

The second indictment charges:

·    Miriam Sukey Estrada, 32, of Oxnard, who operated Platinum Power, as well as Premier Tax Service in Oxnard;

·    Adela Naranjo, 50, of Oxnard, who along with Estrada operated Platinum Power;

·    Maria Del Rocio Partida, 45, of Oxnard, who is Naranjo’s sister and was a real estate agent at Century 21 Premier Real Estate in Oxnard; and

·    Juan Manuel Banales Venegas, also known as "Chicken Little," 23, of Oxnard, who obtained loans for some of the properties discussed in the indictment.

    All four defendants named in this indictment face maximum statutory sentences of at least 70 years in federal prison if they are convicted of all charges.

    The defendants arrested today will begin making their initial court appearances this afternoon in United States District Court in Los Angeles.

    The investigation was conducted by the Ventura County District Attorney's Office, Real Estate Fraud Section; the Federal Bureau of Investigation; U.S. Immigration and Customs Enforcement; the United States Secret Service; IRS - Criminal Investigation; and the U.S. Department of Housing and Urban Development, Office of the Inspector General.

Release No. 10-094

Comments

[YOU'LL NEVER GUESS]

HA HA HA - ITS ABOUT TIME, THESE PEOPLE HAVE BEEN CHEATING THE SYSTEM FOR YEARS. I FOR ONE AM VERY PLEASED WITH THE D.A. AND THE FEDERAL AGENTS FOR FINALY CATCHING THESE PEOPLE. NOW THEY NEED TO ARREST JOE GARCIA AND HIS WIFE LUCY FOR BEING EVIL, GREEDY AND ALL THEY THINK OF IS THEMSELVES AT THE EXPENSE OF ALL THESE POOR PEOPLE WHO JUST WANTED AN AMERICAN DREAM. JOE AND LUCY ARE AS CROOKED AS A QUESTION MARK?????

[amanda]

Lilibell Meza is as crooked as her Father Ben Aparicio who is facing 17 counts of fraud,, "google ben aparicio fraud" greed is her middle name. I am glad Feds and DA are doing an outstanding job catching these criminals. AMEN!!

[Grasshopper]

Well, should we also arrest Barrack Obama who was involved in this same kind of thing in Chicago, getting loans for people who couldn't afford them? How about Senator Chris Dodd and House Jerk Barney "Rubble" Franks! Saying that Fannie and Freddie were just fine. No problems and that those institutions pushed for the loans these people are in trouble with selling.

And, of course, people are innocent before proven guilty. I often wonder in these cases, do the homeowners know the errors on the applications or are they made after the client signs the paperwork? Aren't the homeowners guilty too? They put the information on the applications and signed it. Just a thought...

[Don't say what u don't know]

I personally know lilibell meza, she is the most honest person you will ever meet. FEDS are just idiots and try to drag down any Mexicans who work hard. Not to say all the people on that list are innocent but I have no doubt in my mind she is innocent. When she is found innocent I will be laughing in your face Amanda.Don't we all love HATERS (Amanda)

"A Coward Dies a Thousand Deaths a Soldier Dies One"

[long island swimming pools]

What caused the subprime mortgage crisis?

[new york payroll]

What do you mean by mortgage backed securities? Is it similar to asset backed security or different?

[David Storrs]

I also have the highest regard for Lilibell (and her father for that matter). Amanda, it is CLEAR YOU DO NOT EVEN KNOW this person. Lilibell or you would not say such unkind things about a devoted wif, mother and daughter that she is. Take your condescending BS somewhere else as you do not knwo this wonderful woman!

[Justice will be served]

David Storrs and Dont say what you dont know,, In doubt of your friend?? Why blog or read the so call false allegations if you are so confident in Lilibell... BOTH OF YOU are IDIOTS!!Look at the FACTS,, look up the people she sold the homes too, ALL those she so called "helped" lost their homes. Most immigrants, not a word of english, knowing they would lose thier home. Ask around Fillmore?? Mention their names and what they think of them. You will be shocked!! Back to the scammer, at the END those buyers are out of a home and all she cared about was her commissons... Greed or wonderful??? Feds are on the right track,, justice will be served. The Devil comes in many shapes and forms and these two symbolize satain's acts. *^^$$Scary and they are your friends!! Look and ask around and you will find answers. I will pray for both of you that God takes your blinders off.

[David Storrs]

Vindictive to say the least ... I have read all the reports and information available. You hide behind your false identity and I am here for all the world to see. The thing is ... I have your IP address so don't bother telling us who you are. You are from out of state and have nothing to even do with this case nor do you even know Lilibell. Your day is coming. Shame on you! All the good to do in the world and you choose to beat on this poor innocent mother with small children that you do not even know! Those that live in glass houses should not through stones.

[Don't say what u don't know. DKLA44]

Well "justice will be served" if we didn't blog this, IDIOTS like your self would only say what they thought of the situation. And clearly there would be no truth in anything that is said. Secondly Lilibell is not a friend she was able to help us keep our home. It is apauling to here somone speak so hate fully about a person they probably don't even know. So you can burn in HELL with the rest of us but I'm sure we will not see this wonderful lady Lilibell Meza with us.

[Think about it]

Its surprising to me how some people are quick to point the finger at others as if they're saints. I've personally known Ben and his family for over 30 years and that man probably did it to genuinley help people instead of line his pockets with money. If you dont know the man then dont say anything. You're only displaying your own ignorance. If you were a victim of such fraud or ponzi scheme then state your case with facts and what to look out for in order to help others. There are plenty of schemes out there that people fall for and some unfortunately made a bad decision without further researching the outcome or possible repercussions.

[Barbedwire]

Never trust a false witness. Ben and his family are golden and have only good hearts and intentions. Too bad they got sucked in by Evangeline(Benji) Caleb. Ben and his family lost everything trying to help this fraud woman and the other couple that took him and all the others money. Now he may go to jail for trying to assist others. You blind false and ignorant people need to leave this family alone! They have NEVER done anything to intentionally hurt anyone ... let alone you!

[Brentwood]

I am of the same a opinion Well "Justice" it appears you are getting alittle justice of your own. Seems you are outvoted by the masses here who know this family as well as I do. Come out with your true identity and defend your warped reasoning. This family is indeed golden and were ripped off worse than you can possible imagine. If somehow you were hurt by their actions, it was un-intentional. This family would not hurt a fly! Leave them alone,

[Learning]

I believe in cause and effect, so certainly Ben and his family members were wrong and got the effect of their causes. Being one of their victims, I'm not sad or happy, it is what it is!