Miami-Dade Mortgage Broker Sentenced For Obtaining Fraudulent Mortgages On Houses Purchased In Palm Beach And St Lucie Counties
MIAMI, FL. - Mark R. Trouville, Special Agent in Charge, Drug Enforcement Administration, Miami Field Division, Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Rhonda A. Diffenbach, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation Division announce yesterday’s sentencing of defendant Hugo Oliva, 47, of Miami-Dade. U.S. District Court Judge Jose E. Martinez sentenced Oliva to 87 months’ imprisonment, followed by (5) years of supervised release. In addition, Judge Martinez ordered that Oliva pay restitution in the amount of $886,418.97. Defendant Oliva previously pled guilty to mail fraud and money laundering charges in connection with a mortgage fraud scheme.
According to court documents and testimony, this investigation began in May 2006, when law enforcement discovered marijuana grow house operations in numerous homes in Port St. Lucie. During the investigation, many of those homes were linked to co-defendant Manuel Caro. Manuel Caro was charged in 2006 for his participation in the marijuana grow house operation, but fled after being released on bond. Manuel Caro remains a fugitive.
Continued investigation led to the discovery of additional marijuana grow houses in St. Lucie, Palm Beach, and Miami-Dade Counties. Most of these homes were bought with funds obtained through mortgage fraud committed by defendant Hugo Oliva, a mortgage broker, through his company, MBA Mortgage Services, Inc., and his co-defendants, including Sergio Caro. To execute the scheme, the defendants submitted loan applications to mortgage lenders that contained false information, including false bank statements, W2 forms, pay stubs, verifications of deposit and verifications of employment.
The defendants in the mortgage fraud scheme were charged with various counts of conspiracy, mail fraud, drug charges, and laundering drug-related money through the purchase of the homes. On December 13, 2010, defendant Sergio Caro, 37, was sentenced to 37 months in prison and ordered to pay $671,166.36 in restitution to victim mortgage lenders. Two additional co-defendants, Ilan Reyes, 37, and Orlando Dominguez, 44, both of Miami, pled guilty and were each sentenced to probation for a term of 5 years.
The IRS Criminal Investigation Division, the Port St. Lucie Police Department, the St. Lucie County Sheriff s Office, and the U.S. Marshals Service participated in this investigation.
