Minn. Real Estate Closer Fined $420K

ST. PAUL, Minn. (AP) — The Minnesota Department of Commerce has ordered a Forest Lake real estate closer and insurance agent to pay a civil penalty of $420,000.

The department says an investigation found that Cynthia Strand misappropriated $1.3 million in client funds for her own use.

The department also revoked Strand’s insurance producer, real estate closer and notary commissioner licenses.

The money remitted to her company, Strand Closing Services, was intended to pay off previous mortgages on numerous properties as well as other transaction fees. But the department found that between January 2007 and September 2009, almost $1.3 million in payments were made from the company’s general account to Strand personally or to businesses controlled by Strand and her husband.

Strand’s attorney, Eric Thole, says Strand is now focused on resolving the related criminal case in Washington County.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

Comments

One Comment

  1. Hmmmmmmm says:

    So she nets out with $880,000.00 ? Not too shabby.

  2. jaf says:

    Agreed. She should be paying back 1.72 million. This is supposed to be a punishement not a reward for criminal behavior.

  3. Bigbobo says:

    Note… this is just the civil penalty of $420,000. This is not the amount that the court will ask for at the criminal trial when they get 15 years and are ordered to pay 1.72 million restitution. The civil penalty is just to make sure they end up with nothing and can not have it dismissed by chapter 11 etc. as it is a fine.

  4. Keeping it real in Minnesota says:

    Good luck collecting it……..maybe if she plays lotto, or has a rich relative that would leave her an inheritance……otherwise…….its all blue sky.

  5. Bigbobo says:

    It would be funny if they won a lotto for say $250,000.00 the feds would take it all.
    …and remember when you die will their kids get any life insurance… nope, feds will be there to take it all… This debt being a fine will follow them for ever…

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