A Massachusetts woman has been indicted in connection with allegedly trying to delay or avoid foreclosure of a home mortgage by falsely reporting the death of her child to the mortgage company, and thereafter knowingly falsifying information in an affidavit filed in, Massachusetts Superior Court.
Larson stopped making payments on her mortgage, and then she falsely reported to her mortgage company that a son in the military had died and that she was awaiting payment of a life insurance policy that she intended to use to pay off her loan.
Based on this misrepresentation, the mortgage company granted multiple extensions on mortgage payments before ultimately foreclosing on the loan.
Following the foreclosure, Larson failed to vacate the premises, and eviction proceedings were commenced. Then under the assumed identity of a fictional clerk of an attorney known to her but not actually representing her, Larson sent the Court two faxes requesting the postponement of an eviction hearing. The faxes falsely claimed that a relative of the attorney had died, and the attorney would be unavailable for the scheduled court dates. The court granted Larson two extensions based upon the false representations in the faxes.
The next claim was a person claiming to be a relative of Larson’s called the mortgage lender’s attorney and falsely reported that Larson had died, again requesting additional time to vacate the residence. Believing that Larson was indeed deceased, the lender’s attorney granted the defendant’s family additional extensions on the eviction.
The mortgage lender’s lawyer learned that Larson was not dead when, Larson sought to delay the eviction by requesting the issuance of a temporary restraining order from the Court. Included with her request was a fabricated email from the mortgage company falsely confirming that the foreclosure of her mortgage had occurred in error.
Larson affirmed the authenticity of the email in an affidavit signed under the penalties of perjury and based on that the court granted the temporary restraining order. When later confronted with evidence that the email was fabricated and fictional in content, Larson submitted a second affidavit, also signed under the penalties of perjury, in which she reaffirmed the contents of the prior affidavit and her representations to the court.
The Attorney General’s Office began an investigation after Donna Larson activities were referred by Plymouth Superior Court in Massachusetts. Authorities allege that on numerous occasions Larson repeatedly lied to her mortgage company and in court documents submitted to delay or avoid mortgage payment obligations and eviction from her residence. A Plymouth County Grand Jury returned indictments against Larson and she is scheduled to be arraigned in Plymouth Superior Court on July 12, 2010.
The case is being prosecuted by Assistant Attorney General Roberta Horton, of Attorney General Coakley’s Corruption and Fraud Division, and was investigated by financial investigator Davin Lee of the Corruption and Fraud Division and Massachusetts State Police assigned to the Attorney General’s Office.
An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
It is important to note that lending institutions, companies don’t commit fraud – people commit fraud.
We all need the fraudsters to FEAR retribution from the ethical honest “Real Estate Industry Professionals and Homeowners”.
We can prevent mortgage and real estate fraud one transaction at a time!
Michael S. Richardson
Director/Chief Quality Officer
Author of “An American Epidemic, Mortgage Fraud a Serious Business”
Follow me on Twitter @ FocusonFraud