A Florida man admits he is guilty of defrauding a mortgage company.
Robert Guest, 44, of Orlando pled guilty in Alabama to one felony count of conspiracy in the scheme that involved the purchase and reselling of more than 200 homes, many in Florida.
Altogether the fraud cost Countrywide Loans about $2 million.
Here is how it would work.
Guest would buy a home in Alabama, Florida, or Tennessee. Generally they were homes with low value, but he would arrange to sell to an investor at an inflated price. The investor gets a loan for 80 percent.
Then Guest pays him back his 20 percent. In this case the lender, Countrywide, was then providing a 100 percent loan. In Florida, Guest purchased homes in Orange and Seminole counties.
Guest could face five years in prison. He also has to pay restitution and a fine of a a quarter of a million dollars.
