2 convicted in large NJ mortgage fraud scheme

AP News
Posted: Dec 18, 2009 11:33 AM

A federal jury in New Jersey has convicted two men in a multimillion-dollar mortgage fraud and property flipping scheme involving homes in Paterson.

Frederick Ugwu of Upper Saddle River and Amer Mir of Jersey City were found guilty Thursday following a six-week trial.

Prosecutors say they conspired with others to obtain millions of dollars of mortgage loans for unqualified borrowers from 2002 to 2005. They were convicted on charges including wire fraud and money laundering.

Under federal sentencing guidelines, each faces between five and eight years in prison, although the government is expected to argue for longer sentences.

The investigation has resulted in more than a dozen convictions in New Jersey.