PITTSBURGH, PA – November 28, 2011 – (RealEstateRama) — A resident of Blairsville, Pa., has been sentenced in federal court to 41 months in prison on his conviction of wire fraud conspiracy, United States Attorney David J. Hickton announced today.
United States District Judge Joy Flowers Conti imposed the sentence on Wayne T. Fumea, 65.
According to information presented to the court, Fumea participated in a mortgage fraud conspiracy in which he purchased properties at fraudulently elevated prices based on bogus appraisals of the properties serving as collateral for the loans. The fraud also included misrepresentations in the loan applications related to Fumea’s income and assets, and closing documents that falsely represented that he was making substantial down payments from his own funds related to the purchases when, in fact, not only was he not making down payments, he was getting cash back from the transactions.
Prior to imposing sentence, Judge Conti stated that mortgage fraud activity was rampant and that it needed to stop. Judge Conti also indicated that the sentence was based, in part, on the defendant’s perjury during his trial of the case. Judge Conti directed that the defendant be taken into the custody of the U.S. Marshal following the sentencing hearing.
Assistant United States Attorney Brendan T. Conway prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Mortgage Fraud Task Force for the investigation leading to the successful prosecution of Fumea. The Mortgage Fraud Task Force is comprised of investigators from federal, state and local law enforcement agencies and others involved in the mortgage industry. Federal law enforcement agencies participating in the Mortgage Task Force include the Federal Bureau of Investigation; the Internal Revenue Service, Criminal Investigation; the United States Department of Housing and Urban Development, Office of Inspector General; the United States Postal Inspection Service; and the United States Secret Service. Other Mortgage Fraud Task Force members include the Allegheny County Sheriff’s Office; the Pennsylvania Attorney General’s Office, Bureau of Consumer Protection; the Pennsylvania Department of Banking; the Pennsylvania Department of State, Bureau of Enforcement and Investigation; and the United States Trustee’s Office.
Western District of Pennsylvania(412) 644-3500