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Springboro man pleads guilty in foreclosure scam
Tuesday, November 06, 2007
DAYTON — A Springboro man pleaded guilty Tuesday in U.S. District Court to mail fraud for soliciting homeowners who were in danger of losing their homes through foreclosure.
Randall L. Webb, 50, was accused of "falsely promising homeowners he could provide affordable solutions and assistance to enable the homeowners to keep their homes and not put them in a more difficult position," said Fred Alverson, law enforcement coordinator for the U.S. Attorney Gregory G. Lockhart.
Extras
U.S. District Judge Walter H. Rice set Webb's sentencing for 11 a.m. Feb. 4.
Webb faces up to 20 years in prison, although Webb will likely receive a shorter sentence. Webb also agreed to make full restitution to victims. The loss is estimated at $5,000.
According to a statement of facts filed with the plea agreement, Webb sent flyers under the name American Foreclosure Group LLC to homeowners in the Dayton and Cincinnati areas offering to help them save their homes from foreclosures and sheriff's sales, Alverson said.
"Webb met with homeowners who responded to his ads and promised to help them save their homes in exchange for a fee of between $600 and $700 that he collected up front. Webb instructed the homeowners not to contact their mortgage companies, and that he would instead contact and negotiate with the mortgage companies on behalf of the homeowners."
Once Web receive the fees, he would file for bankruptcy on the homeowners' behalf, sometimes without their knowledge. He did this without taking the proper measures needed to prevent foreclosures.
"Scams like this prey on people when they are most vulnerable," Lockhart said. "Homeowners facing these dire straits are urged to consult with an attorney experienced in bankruptcy and foreclosure matters."
Contact this reporter at (937) 225-2414 or kwynn@DaytonDailyNews.com.
