Thursday, February 7, 2008
|Indictment against Karen Hayes|
|Indictment against Darrell Marriott|
|Indictment against Kandace Marriott|
Evidence obtained by investigators indicates the defendants, doing business as One Way Home & Land, falsified residential loan applications in order to ensure that the buyers’ loans were approved by mortgage lenders. According to prosecutors, the defendants illegally forged purchasers’ signatures, inaccurately completed loan applications, and falsified supporting documents, including the buyers’ rent payment verification statements, proof of employment, and Social Security Administration benefits information, among other documents.
The multi-county criminal conspiracy was uncovered by Corporal Mark Nanny of the Corsicana Police Department, who subsequently brought in HUD officials. Assistant Attorney General David Glickler is prosecuting the case for the Attorney General’s Office.
According to authorities, the scheme involved predominantly low-income purchasers whose residential loans were guaranteed by HUD. As a result, when the unqualified buyers defaulted on their home loans, their mortgage lenders did not suffer financial losses. Instead, HUD had to cover the costs. As a result, investigators believe the defendants’ scheme cost the taxpayers more than $3 million.
After it became clear the conspiracy encompassed multiple counties, prosecutors with the Office of the Attorney General offered assistance to the district attorneys in whose jurisdictions the criminal conduct occurred. In 2007, the Texas Legislature passed a law allowing the Office of the Attorney General to formally offer prosecutorial assistance to local district attorneys who otherwise retain exclusive original prosecutorial jurisdiction in most cases. Prior to the passage of Senate Bill 2037, Texas law did not allow the Attorney General to proactively offer prosecutorial assistance to local prosecutors.
A first-degree felony conviction can result in five to 99 years or life in prison, and a maximum $10,000 fine.
In September 2007, Attorney General Abbott launched the Texas Residential Mortgage Fraud Task Force, a partnership that involves key state regulatory agencies in taking a proactive stance toward tracking and prosecuting mortgage fraud.