Mortgage scams

Unraveled Scams: Mortgage Fraudsters Caught, But What Did They Hide?

When the 2008 housing bubble burst, it left a trail of foreclosed homes and desperate owners—perfect prey for slick mortgage fraudsters. From Dallas to New York, con artists spun webs of fake loan promises, forged deeds, and shady companies, raking in millions before the law caught up. But for every scam busted, the question looms: how much did they really get away with before the spotlight hit? Let’s peel back the curtain on some who got nabbed and what might still be hidden in the shadows.

A Dallas Ringleader’s Game

In a Dallas suburb, one ringleader ran a slick foreclosure rescue scam from 2012 to 2013, duping over 70 homeowners out of $242,000+. He promised to save their homes with fake loan relief, using shell companies to collect fees and forge deeds, while filing sham bankruptcies to delay foreclosures. Indicted in 2016, convicted in 2018, he served six years and was out by 2023. But whispers suggest he was at it earlier—maybe around 2009, with a partner who died suddenly, leaving no trace in later charges. Did early scams or hidden payouts slip through? Check the DOJ’s 2018 sentencing report for the full scoop. Source: U.S. Attorney’s Office, Northern District of Texas

The Long Shadow of Mortgage Fraud

These scams don’t pop up overnight. They fester for years, thriving in chaotic markets like post-2008 Texas, where foreclosures spiked. A 2009 report noted fraud risks soared in high-foreclosure states, with fake documents and shell companies hiding tracks. HousingWire’s 2009 fraud analysis. Short statutes of limitations—five to ten years for most frauds—often let early crimes fade, especially if witnesses, like a deceased partner, can’t talk. A 2025 report shows fraud risk is still climbing, up 7.3% last year, with fake deeds leading the pack. HousingWire’s 2025 fraud update. Source: HousingWire

Other Fraudsters Caught in the Act

The Dallas guy wasn’t alone. Here’s a rundown of others who made headlines, their scams stretching years before justice hit:

• Robert Sedlar (California, 2023): Ran a $7 million foreclosure scam from 2008–2014, targeting 100+ homeowners with fake liens and sham bankruptcies. Caught after six years, he got 25+ years in prison. Earlier schemes? Likely buried by time. DOJ’s 2023 Sedlar conviction. Source: U.S. Attorney’s Office, Northern District of California
• Noreen and Christopher Mayberry (Texas, 2025): Houston ex-NASA workers faked mortgage apps from 2017–2021, costing lenders $276,000 for a luxury home. Nabbed in 2025, sentencing is pending. Pre-2017 deals? Hard to trace. Houston Chronicle’s 2025 Mayberry report. Source: Houston Chronicle
• Avraham Tarshish (New York, 2024): Targeted Brooklyn foreclosures with fake liens and property damage, running for years before a 2024 conviction. Losses hit millions. Undetected early scams? Probably. DOJ’s 2024 Tarshish conviction. Source: U.S. Attorney’s Office, Eastern District of New York
• Louis Amir (Ohio, 2011): Used straw buyers and fake loan apps in 2006–2007, pocketing $6.7 million. Convicted in 2011, but earlier profits likely slipped through. DOJ’s 2011 Amir conviction. Source: U.S. Attorney’s Office, Northern District of Ohio

What Slips Through the Cracks?

Why do these fraudsters run free so long? Complex schemes, overwhelmed regulators, and silent victims—some too ashamed to report, others gone forever. The FBI notes one in 123 mortgage apps in 2024 showed fraud, an 8% jump from last year. Investopedia’s 2025 mortgage fraud stats. Short time limits on fraud charges—five years for basic scams, ten for bank-related ones—mean early crimes often go unpunished. If a partner dies or evidence vanishes, it’s game over for justice. In Dallas, that ringleader’s 2009 moves stayed off the radar, maybe because a key player wasn’t around to talk. Source: Investopedia

Heard of similar scams? Dig into DOJ archives or Texas news for more. Share your thoughts below or tweet with #MortgageFraud. How much do you think stays hidden?