Seven defendants were arrested and arraigned today for their roles in a mortgage fraud conspiracy that operated out of Detroit, according to astatement from the Justice Department.
The department found that from approximately January 2006 to December 2008, the defendants conspired to defraud lending institutions by obtaining mortgage loans using fraudulent information.
As a result, the indictment said that the scheme forced financial institutions to pay approximately $10 million in fraudulent mortgage loan funds.
If they are found guilty, the defendants face up to 30 years in prison and a $1 million fine.
