Attorney John Yanchek pleaded guilty to criminal charges relating to an $82 million mortgage fraud scheme in the Tampa federal courthouse earlier this month. The U.S. Attorney’s Office for the Middle District of Florida charged Yanchek with conspiracy, money laundering and making false statements to a federally insured bank. He faces up to 45 years in prison and fines up to $1.5 million.

Yanchek admitted making false statements in loan applications for the purchase of vacant land in the Sarasota-Manatee area. The borrowers hoped to obtain a bank loan to buy the property without making any sort of down payment and to cash out additional loan proceeds for their personal use.

Yanchek apparently acted as the closing attorney for these transactions and made false statements to the lending banks regarding the financial resources of the borrower, the existence of equity to be contributed by the borrower, marketable title to the property and distribution of the loan proceeds.

The now-disbarred attorney was indicted along with three other participants in the mortgage fraud scheme. Michael A. Tringali pleaded guilty to the conspiracy charge last year. Larry Nardelli’s case is currently in the midst of trial at the federal courthouse in Tampa. Neal Mohammad Husani fled the country in 2006 and was arrested in Jordan last week.

According to a report issued by the Mortgage Asset Research Institute, the state of Florida leads the nation in reported mortgage fraud. Tampa was #2 for suspicious loan activity of any Florida city, just behind Miami.

The most common types of mortgage misrepresentation for the Tampa area were associated with highly inflated appraisals.

White Collar Crimes

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