Albertville Man Sentenced For $7.7 Million Fraud Scheme
MINNEAPOLIS (WCCO) – A judge sentenced a 31-year-old Albertville man to 125 months in prison Monday for playing a part in a mortgage fraud scheme that caused lenders to lose more than $7.7 million, the United States Department of Justice said.
United States District Court Judge David Doty sentenced John Spencer to more than 10 years in prison for one count of conspiracy to commit mortgage fraud, ten counts of wire fraud, one count of money laundering and one count of bank fraud, the Justice Department said.
Evidence showed that Spencer played a role in a scheme in which he brokered fraudulent loans that chosen purchasers used to buy houses and other real estate at inflated prices. Spencer and others would then pocket a portion of the excess money used to buy the real estate.
The properties Spencer engaged with included six single-family homes in north Minneapolis, five condominiums on Fisk Avenue in St. Paul, four condominiums on Dayton Avenue in St. Paul, two development properties in north Minneapolis, and Spencer’s home in Albertville, the Justice Department said.