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SoCal Operator of Foreclosure Prevention Company Facing Prison Time
And another scam artist bites the dust!
According to a post at LoanSafe, Fredric Alan Gladle operated a company that charged homeowners to prevent foreclosure on their homes. His scheme operated for four years.
According to the post,
“Gladle led his clients into believing he would legitimately postpone foreclosure proceedings if they signed over 1/100 of the property deed (granting fractional interest) into a debtors name who is currently going through bankruptcy. They found debtors information online through public records and the individuals had no idea Gladle was fraudulently using their information for such purposes.
Once Gladle filed the bankruptcy petition and deed with the foreclosing lender, the lender is forced to stop all foreclosure proceedings because bankruptcy causes an automatic stay. The automatic stay prohibits lenders from pursuing foreclosure until getting permission from the courts to lift the stay. Gladle used this strategy to fraudulently postpone foreclosure on hundreds of properties.”
He was charging is victim-customers around $750 per month for his services.
It is illegal in California to charge for loan modification or foreclosure prevention services but that didn’t stop Gladle. He apparently took in $1.6 million over the time he was in operation. He now faces up to 7 years in prison.
[...] case is not that unusual. In another case that I profiled earlier in the month, another agent was involved with mortgage fraud and once [...]
Register of Deeds John O’Brien: “As I have been saying all along, they may think they are too big to fail, but as far as I am concerned, they are not to big to go to jail. The top officials at MERS, its member-banks, servicers and foreclosure-mill attorneys must be prosecuted and held accountable for their fraudulent schemes that brought profits to their institutions by cutting corners, circumventing land recordation systems through fraud, uttering and forgery.” – http://tinyurl.com/3dgpsox