Dozens of homes sitting empty and facing foreclosure in Central Florida because they were part of an elaborate mortgage fraud scheme.

Filed suit against 10 companies and 15 individuals in a multi-million dollar mortgage fraud scheme.
Dozens of homes sitting empty and facing foreclosure in Central Florida because they were part of an elaborate mortgage fraud scheme. Florida Attorney General Bill McCollum says his office has filed suit against 10 companies and 15 individuals in a multi-million dollar mortgage fraud scheme. McCollum says the ring leaders used straw buyers to inflate prices on dozens of homes in central Florida and obtained loans far in excess of what they are worth... loans they never intended to repay
McCOLLUM SOUNDBYTE: "And they got the mortgage. They got the money. They got the cash. And they pocketed the difference," said McCollum. "In which ultimately, $6 million was siphoned off and sent to overseas banks, some of that in Trinidad. Some made it all the way to Australia."50 of the 61 houses used in the scam are now in foreclosure.
McCOLLUM SOUNDBYTE: "These 50 homes, they're abandoned. They're in good neighborhoods. Some of them are rat-infested. Some of them are driving down property values for the neighbors," said McCollum.
McCOLLUM SOUNDBYTE: "It is probably the most dramatic mortgage fraud case that we have so far filed. It's a lawsuit involving roughly $37 million worth of mortgages and money that were transacted with 61 house," he said.

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