A man convicted of a mortgage fraud scheme faces up to 30 years in prison and $1 million in fines, according to the Department of Justice.
Lance Kellow, 36, of Henderson was convicted in federal court Friday of conspiracy to commit mail and wire fraud, bank fraud and three counts of wire fraud in a scheme that began in 2007.
In 2007, Kellow, a loan officer for a mortgage lender, and his two brothers, Jason and Vinson Kellow, conspired to sell their houses to a cousin, who did not qualify for a mortgage.
They sent loan applications with false or omitted information regarding the cousin’s employment, assets and income. The cousin was unable to pay the mortgages, and the houses went into foreclosure.
The banks lost more than $1 million on the houses. Lance Kellow received more than $100,000 in cash from the sales of their homes. The brothers received more than $500,000.
Lance Kellow is scheduled to be sentenced on May 31.
Vinson Kellow pleaded guilty to wire fraud in January 2012. Jason Kellow pleaded guilty to conspiracy to commit bank fraud in August 2010. Sentencing dates for Vinson and Jason Kellow have not yet been set.
Contact reporter Caitlyn Belcher at firstname.lastname@example.org or 702-383-0264.