Busted-Largest Mortgage Fraud Ring in Fairfax County

After a two year investigation the FBI and Fairfax County (VA) officials have finally unraveled a $100 million dollar mortgage fraud case.

“According to the federal indictment, real estate agents Ruben Rojas, 30, and his sister-in-law, Litcia Linares, 32, organized the fraudulent transactions, along with Rojas’ sister, 28-year-old Lourdes Rojas Almanza, a loan officer, and his brother, Jaime Rojas.”

Many of us who worked in the Springfield (VA) area during the “hot” market were familiar with the names of those who were named in the federal indictment. The Rojas group was involved in buying and selling a significant percentage of the older homes in Springfield. In some cases the homes “flipped” from a $400,000 one story home to a $1,000,000 mansion before the new home was even built.

The aftermath of the flipping scheme can be seen in the foreclosures and short sales that line the streets of once solid older Springfield neighborhoods.

You can read the entire article here:

20 Arrested in Fairfax Mortgage Fraud Bust

4 thoughts on “Busted-Largest Mortgage Fraud Ring in Fairfax County

  1. FINALLY! Now if the FBI can follow up on the other “raise the list price-then cash back” fraud sales from 2006/2007 ,agents who operate on the edge-under brokers who do not even begin to know what their agents are doing-MIGHT just take note that justice may be slow, but it is coming their way! When I called my association to report fraud, they seemed disinterested as in “we are a trade organization-not an investigating body”. THAT has to change too!

  2. Greg-there are a lot of schemes that happened when no one was minding the stores. In some cases the brokers were raking in their portion of the money and looking the other way. I suspect we will see more agents and their brokerages under scrutinty for a few years to come.

  3. I agree-but I fear that the broker biz model that allows one person to manage the activity of a hundred or more agents,most of whom receive no training beyond the basics, will continue to lead to serious problems with the repuattion of what I consider to be a noble profession.Hope that I am wrong…

  4. Greg-when brokerages were filling desks when any available warm body it was easy to see trouble coming. I think we see some of the same issues with REO agents who are handling 100’s of listings. Little supervision and lots of questions about how their business is operating.

Leave a Reply

Your email address will not be published. Required fields are marked *

CommentLuv badge