Defending Against California Federal Mortgage and Loan Fraud Charges

Defending Against California Federal Mortgage and Loan Fraud Charges

Being charged with mortgage or loan fraud by federal authorities in California can be scary. These charges often involve large sums of money and can lead to severe penalties if convicted, including years in prison and massive fines. However, with an experienced criminal defense attorney on your side, it may be possible to avoid conviction or at least reduce the penalties you face.

What is Mortgage and Loan Fraud?

There are a few main types of mortgage and loan fraud charges:

• Making false statements on a mortgage or loan application
• Falsifying income, employment, or asset documentation
• Inflating property appraisals
• Misrepresenting the planned use of loan proceeds
• Using straw buyers to obtain loans the true borrower wouldn’t qualify for

Prosecutors often charge mortgage fraud under federal statutes like wire fraud, bank fraud, or false statements. The details vary, but in general – if you deliberately misled a lender to obtain a loan, you could face charges.

Defenses Against Mortgage and Loan Fraud

Here are some common defenses used against federal mortgage fraud allegations:

You didn’t act “knowingly”

Prosecutors must prove you knowingly made false statements or misled lenders. If errors were unintentional or you didn’t realize submitted information was inaccurate, it weakens the case against you.

You didn’t act “willfully”

For some charges, prosecutors must show you willfully committed fraud. If you made a mistake or false statements without intent to mislead, it’s not willful fraud.

You were entrapped

If government agents pushed you into committing fraud you otherwise wouldn’t have, an entrapment defense may apply. This is rare but can work in some cases.

The lender didn’t actually rely on your statements

Prosecutors must show the lender relied on your false statements – if they failed to verify your application and would have approved the loan anyway, this defense may succeed.

Alleged false statements are technically true

If statements on your application were misleading but not outright false, a conviction becomes much harder to obtain.

Duress or coercion

If you can show you were coerced into committing fraud by threats of harm, this may constitute a defense. However, you’ll need strong evidence of coercion.

An experienced lawyer can analyze the facts of your case and determine which defenses give you the best chance of success.

Choosing the Right Federal Mortgage Fraud Lawyer

To maximize your chances of avoiding harsh penalties, it’s critical to have an attorney who understands federal law and has successfully defended mortgage fraud cases before. Consider a lawyer who:

• Has represented clients in federal court and negotiated with federal prosecutors
• Can investigate the case details and identify weaknesses
• Has experience getting mortgage fraud charges reduced or dismissed pre-trial
• Understands sentencing guidelines and how to minimize them
• Will aggressively defend you in court if necessary

Don’t leave your fate in the hands of just any lawyer – mortgage fraud is complex, so specialized legal experience is a must. Interview attorneys thoroughly and ask for case results they’ve achieved in the past.