Mortgage lender exec sentenced to 24 months’ imprisonment for fraud over $8M
Misappropriated money obtained to allegedly fund mortgage loans
On Tuesday at federal court in Central Islip, the former president of sales and co-owner of mortgage lender Vanguard Funding LLC (Vanguard) was sentenced by U.S. District Judge Joanna Seybert to 24 months’ imprisonment in connection to more than $8.9 million acquired in fraudulent warehouse loans.
Vanguard had reportedly used the funds for home mortgages and mortgage refinancing. Instead, Edward E. Bohm and other conspirators diverted the funds for personal use and compensation, according to the Eastern District of New York.
Bohm and others also used the funds to pay off loans they previously acquired through false loan applications in their cycle-like scheme. Bohm is the third defendant sentenced in connection to the misappropriated loans.