A mortgage scam in California where fraudsters provide fake employer information on loan applications is more widespread than originally suspected, Fannie Mae said in a new fraud alert.
Fannie
It's unclear whether the geographic reach of the scheme has spread since the initial warning or if it was occurring statewide to begin with. However, the fake employers have been found in loan applications taken between 2015 and 2018.
"If one of these entities is disclosed as the borrower's place of employment, exercise due diligence in reviewing the entire loan file," Fannie Mae advises in the alert. "Lenders must exercise caution in these situations and take appropriate steps."
Other red flags associated with the fraud scheme include:
- Brokered and other third-party originated loans
- Employment and salaries listed that seems disconnected with borrowers' ages or experience
- Short times listed for current jobs
- Previous employment listed as "student"
- Paystubs with generic formatting or that don't include withholdings for medical and retirement benefits
- Letters for substantial gifts that can't be reverified
Fannie Mae's list of the alleged fake employers includes 45 companies with California addresses:
Company | Address | City |
*Collins Software Engineering | Redwood Highway | San Rafael |
*Modern RF Circuits | Oakland Road | San Jose |
*Periodic Network Systems | Scotts Valley Drive | Scotts Valley |
*Solo Welding and A/C Repair Co. | W. Larch Road | Tracy |
*Wyntron Micro Systems | G Street, Suite E | Merced |
*Metroniks Wire Technologies | W. Olive Street, Suite 1 | Madera |
*Salam Imports Bay Area | Old Glory | Street Gilroy |
*Lucero Pro Systems | Hellyer Avenue | San Jose |
*Argo Physical Med Devices | Leveroni Court | Novato |
*Advanced Pacific Cardiology Systems | Lincoln Avenue | Calistoga |
A1 Data Programming | E Dalewood Street | West Covina |
AMR Global Research | Bradley Road | Sun City |
Axis Programming | Science Drive | Moorpark |
BA Transport | McDivitt Drive | Bakersfield |
Bella Donna Academy | Topanga Canyon Boulevard | Chatsworth |
Bridge Worldwide Financial | Agoura Road | Calabasas |
Buenaventura Construction Group | Westinghouse Place | Reseda |
Calimex Distributors | Laurel Canyon Boulevard | Sun Valley |
Camarillo Home Healthcare | Sherman Way | Reseda |
Cayton Systems | Ventura Boulevard | Encino |
Civa Home Solutions | Ventura Boulevard | Encino |
Coast One Financial Group | Ventura Boulevard | Encino |
Concord Concrete | Parthenia | St Northridge |
Core Natural Beauty Products | Constellation Road | Valencia |
Dataplus Communications | Eton Avenue | Chatsworth |
Digital Media Consultants | N. Santa Anita Avenue | Arcadia |
Direct Choice Financial | N. Sepulveda Boulevard | El Segundo |
Elite Restaurant Management | Colorado Boulevard | Los Angeles |
Emtron Software Developers | Science Drive | Moorpark |
EZ Maintenance | Owensmouth Avenue | Granada Hills |
Green Energy Development | Sherman Way | Reseda |
Jana Collins Cosmetics | Comanche Avenue | Chatsworth |
LA Best Restaurant Group | Lurline Avenue | Chatsworth |
Master & Media | Riverside Drive | North Hollywood |
Med Plus Medical Billing Services | Green Valley Circle | Culver City |
OC Media Developers | Main Street | Irvine |
Ocean Trade Imports and Exports | W. Ocean Boulevard | Long Beach |
Ontic Global | N. Brand Boulevard | Glendale |
Pacific Logistics International | S. Eastern Avenue | Commerce |
Power Pack Consultants | Wilshire Boulevard | Los Angeles |
Prime Medical Group | La Venta Road | Westlake Village |
Sentryx Media & Motion Pictures | Eton Avenue | Chatsworth |
Shield Technologies | W. Olive Avenue | Burbank |
Tech Direct | Mason Avenue | Chatsworth |
USA Extended Auto Care | Ventura Boulevard | Encino |
*Denotes Aug. 9 addition to fraud list |