Fmr. Loan Officer Pleads Guilty To Mortgage Fraud
MINNEAPOLIS (WCCO) – A former Minneapolis loan officer pleaded guilty in Minneapolis Federal Court Thursday in connection with a $2.8 million mortgage fraud scheme that involved five properties.
Hannah Noel Perlich, 29, pleaded guilty to one count of bank fraud in connection with the incident. She was indicted June 21. Perlich worked previously as a loan officer for St. Joseph’s Financial and Legacy Lending.
In the plea agreement, Perlich admitted that from November 2005 to September 2006, with help from others, she fraudulently obtained mortgage loan proceeds. As part of the scheme, she obtained mortgage loans in substantially higher amounts than the purchase price of the properties involved. It was done through inflated appraisals as well as fraudulent underwriting and loan documentation.
Perlich allowed the false loan applications to be provided to potential lenders through wire transfers. She also admitted to concealing payments to herself from the loan proceeds by diverting them to buyers and co-conspirators. According to court documents, at least $350,000 in concealed payments were made.
Several co-conspirators have already been sentenced or charged in connection with the scheme. Perlich faces up to 20 years in prison for her role in the scheme.