After a six-day jury trial, Nicholas Lindsey was convicted in federal court Wednesday in a $3 million mortgage fraud scheme. Lindsey, 40, of Montana, was found guilty of nine counts of wire fraud and one count of aggravated identity theft.
“Many innocent homeowners in Nevada have suffered because of this type of crime involving fraudulent residential mortgage transactions,” U.S. Attorney Daniel Bogden said in a statement. “Since 2008 when the FBI and our office made mortgage fraud prosecutions a priority, we have investigated, charged and convicted hundreds of persons for federal mortgage fraud crimes .”
Prosecutors alleged Lindsey, who was a loan officer, recruited straw buyers for an real estate investment opportunity by buying five Las Vegas-area homes.
Lindsey obtained more than $3 million in loans by causing false information to be placed in the straw buyers’ mortgage loan applications, according to prosecutors. Once the mortgages were approved, Lindsey fraudulently diverted to his bank account a portion of the proceeds disbursed from escrow .
Senior U.S. District Judge Lloyd D. George ordered Lindsey to be jailed until his July 22 sentencing.
Contact Jeff German at email@example.com or 702-380-8135. Follow @JGermanRJ on Twitter.