Daily Real Estate News | July 30, 2008
2 Practitioners Busted for Mortgage Fraud

Two Denver real estate practitioners face up to five years in jail for bilking the U.S. Department of Housing and Urban Development and mortgage companies out of at least $2 million.

LaDonna Mullins, 73, and Linda Edwards, 55, were convicted last week of a scheme that assisted cash-strapped buyers by providing them with false Social Security numbers, fake W-2s or other income documentation and false verification of rent payments.

Mullins and Edwards would receive commissions for the home sales and kick back a portion to the homebuyers, according to the indictment.

Mullins did business as LaDonna’s Realty and Management. Edwards worked out of Affable Realty. According to the indictment, Edwards received $230,551 in commissions from illegal transactions and Mullins got $56,213.

Source: Denver Post, Tom McGhee (07/29/08)