FBI Probes Va. Company's Workers in House Swindle

[flashl]

Source: Washington Post

Lawsuits Outline Scheme to Forge Deeds to Steal Vacant Properties

The FBI is investigating whether employees of a now-defunct Northern Virginia mortgage company were involved in what several lawsuits allege was a scheme to steal vacant houses by forging deeds, according to people familiar with the probe.

As federal investigators step up efforts to crack down on irregularities in the real estate industry, the lawsuits and FBI probe provide a glimpse into some of the practices that flourished before the housing boom dissolved.

Some of the allegations of fraud are outlined in filings in D.C. Superior Court and in U.S. Bankruptcy Court in Alexandria by those who claim to be victims, including two District property owners and the pension fund of a Northern Virginia company.

The property owners have alleged in separate lawsuits that people, unbeknownst to them, illegally took possession of their vacant property by forging the deeds, and then attempted to sell the property. Loans in both situations were arranged by a 1st American employee. Late last year, judges found that the deeds were invalid and ordered the properties returned to their rightful owners.

Washington Post

Read more: http://www.washingtonpost.com/wp-dyn/content/article/2008/03/12/AR2008031203863.html?hpid=topnews

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I suspect when the dust settles on the 'mortgage crisis' and 'economy meldtown' Americans will learn that their pension funds disappeared.