A complex multi-million dollar mortgage fraud scheme has been busted by the Calgary police and RCMP officers, with four people now facing 29 criminal charges.
Alberta Law Enforcement Response Teams (ALERT) confirmed that the four suspects aided and abetted a vast cross-section of Calgary’s underworld with fraudulent mortgages. They face charges including fraud, money laundering, conspiracy to obstruct justice, and instructing a criminal organization.
ALERT has been investigating the group since October. Now, the team believes over 20 households worth $300,000 to over $1m in Calgary, Fort McMurray, and British Columbia were purchased illegally.
“The alleged criminal group used fictitious companies to commit mortgage fraud by falsifying documents related to employment records, bank statements, credit information, and tax assessments,” ALERT said.
The scheme also involved the creation of four fraudulent companies in order to obtain mortgages.
“This group was receiving service fees from some of the other people that were involved, they were relying on increased values of the property and also drawing second mortgages, third mortgages, etcetera, on each property,” said Staff Sgt. Martin Schiavetta.
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate