Eight people have been arrested as the result of a mortgage fraud scheme in Ventura County which prosecutors say bilked millions from lending institutions.
The Ventura County District Attorney’s office started the investigation, which eventually grew to include the FBI, the Secret Service, federal prosecutors, and other agencies.
The prosecutors say Jose Garcia of Camarillo led a scheme involving an Oxnard based company called New Concepts Home Loans, which falsified information about borrowers income and assets to put them into homes they couldn’t afford. Investigators say the operation generated substantial loan fees, , but then resulted in millions of dollars in losses to more than a half dozen lending instutions when the homes went into foreclosure.
Seven of the eight defendants are from Ventura County, with the last one from Moreno valley. They could face up to 30 years in prison if convicted of the charges.