3 Bay Area Real Estate Professionals Sentenced to Prison for $55 Million Mortgage Fraud Scheme!
Three real estate professionals from the Bay Area have been sentenced to federal prison for their involvement in a $55 million mortgage fraud scheme, according to the U.S. Attorney’s Office.
Tjoman Buditaslim, 52, Jose De Jesus Martinez, 59, and Jose Alfonso Tellez, 27, were sentenced to 24 months, 14 months, and 12 months in prison, respectively. Additionally, they were ordered to collectively pay more than $3 million in restitution and serve three years of supervised release after their prison terms, as announced in a news release on Tuesday.
The three men, along with a fourth defendant, Travis Holasek, 52, were indicted in November 2023 on charges of wire fraud and conspiracy to commit wire fraud. All four individuals pleaded guilty to conspiracy to commit wire fraud.
The fraudulent activities occurred between 2018 and 2022. During this time, the group submitted fake income documents to secure around 102 home loans totaling $55 million. These false documents, which included fabricated bank statements and divorce decrees, were used to help unqualified individuals obtain loans.
Buditaslim, a former real estate broker whose license was revoked in 2019, admitted to creating these falsified documents to help clients secure loans they otherwise would not have qualified for. Martinez, a real estate agent, referred clients to Buditaslim, knowing that the loan applications would contain fraudulent information.
According to his plea agreement, Martinez earned nearly $590,000 in commissions from these deals. Tellez, a loan officer, processed 30 fraudulent loans and earned $134,000 in commissions.
The case was a significant blow to the housing market, as the defendants’ actions aimed at lining their pockets caused harm to homebuyers, lenders, and federally insured programs. U.S. Attorney Ismail J. Ramsey emphasized that the sentences were a step toward holding the defendants accountable for their actions. “The defendants tried to line their own pockets at the expense of homebuyers, lenders, and federally insured programs,” Ramsey said in the statement.
The sentencing of the three Bay Area professionals serves as a reminder of the serious consequences of fraud in the real estate industry. Their involvement in this large-scale mortgage fraud scheme, which involved falsifying documents and misusing trust, shows how individuals can exploit the system for personal gain.
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