FBI Busts Real Estate Brokers
filed under: Mortgages
WASHINGTON (June 19) - The FBI says it has arrested about 300 real estate brokers since March - including dozens over the last two days - in its crackdown on incidents of mortgage fraud that have contributed to America's housing crisis.
One law enforcement official put the losses to homeowners and other borrowers who were victims in the schemes at over $1 billion.
The Justice Department and FBI plan to announce the recent arrests - including apprehensions in Chicago, Atlanta, Miami, and suburban Maryland - at a news conference set for Thursday afternoon in Washington.
Two former Bear Stearns managers in New York were also included in the sweep, becoming the first executives to face criminal charges related to the collapse of the subprime mortgage market.