4725 South Michigan: Mortgage Fraud Alleged By The State

Someone took note of my posts about the 4725 South Michigan condo association and suggested that I do some more searching.

So I did.

The renewed effort did not disappoint.

The State of Illinois alleges that several individuals and real estate professionals were attempting to defraud various lenders to the tune of 7.7 million dollars.

Per the complaint, the scheme goes much deeper than the listed owners than the paperwork I discovered at the Clerk of the Circuit Court's office. 

Appraisers, Loan Originators & Mortgage Companies were either given stiff fines or their licenses were revoked. 

This is one of the few cases I can remember of alleged mortgage fraud on the south side that has been so thoroughly documented. 

That's both good and bad.

It's good because it took a confidential informant to bring these activities to the attention of the authorities.

Yet it's bad because there is still no surefire way to detect potential fraud before it harms the home values and the economic stability of a neighborhood.

It also fascinated me that most of the accused live in the suburbs.

Using a pen and paper to do more harm than any gangbanger could ever do.

Allegedly.  

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