Credit Score News, Tips & Advice
Website CertifiedPrivacy Protected
Credit Score News, Tips & Advice « Credit Scores > Credit Score News > Mortgage Scammer Sentenced to Nearly Five Years

Mortgage Scammer Sentenced to Nearly Five Years

By Sally Maison
Published: Wednesday, December 30th, 2009

A packed Newark courtroom witnessed the sentencing of a Heath man to nearly five years in prison after being found guilty of stealing from at least 40 investors in a mortgage investment scam. This crime resulted in more than $475,000 dollars lost and ravaged credit score of victims.

Mortgage Scammer Sentenced to Nearly Five Years Joseph C. McClain, 31, whose last known address was at 1115 Daisy Lane, admitted guilty to a mortgage investment scam and was sentenced to four years and 11 months in prison. The sentence is just a month short of the five year sentence which would have then prevented him from judicial release.

Licking County Clerk of Courts Judge Jon Spahr to restitute for all victims in the 25-count grand theft he was found guilty of. The sum will be determined by Judge Spahr later, but police investigators estimate that it could reach up to $1 million.

In a court statement, the presiding judge said it is quite obvious that the accused has deceived many people, including those who spoke on his behalf. The sentence was brought down on Dec. 8 as McClain pleaded guilty to 25 counts of grand theft, each equivalent to felony in the fourth degree.

Investigators reported that 40 investors, buyers, and sellers gave their money or property to McClain to pay their mortgage off and improve their property’s value. Family and friends defended McClain and testified on his behalf, saying the poor real estate market caused him to inadvertently lose what victims have given.

However, assistant prosecutor for Licking County, Duke Frost, maintains that the accused willfully swindled victims and used their money for his own expenses.

Detective Melanie Angle, who investigated the case for two and a half years, said she constantly heard about McClain stealing money from investors to pay his own debts.

The victim’s trust was not only violated, this scam also left their finances severely damaged because of its impact on their credit score. Thornville resident, Andrews, had her house involved in this scam and caused her to lose huge points on her credit rating. With a very low score now, she even finds it difficult to secure a gas card.

Victims of investment scams often see their credit score drop very low, but experts say there is still a way to regain it. One of which is asking for professional help from non-profit groups that offer financial counseling.

Specialists remind consumers that there is no quick way to improve their credit score, but paying bills on time and avoiding late payments could help them boost their credit rating just within a year.

No Comments

No comments yet.

RSS feed for comments on this post.

Sorry, the comment form is closed at this time.