Local News

Four sentenced in Wake County for mortgage fraud

Posted May 19, 2011 12:52 p.m. EDT
Updated May 19, 2011 1:47 p.m. EDT

— Operators of a rent-to-own housing scheme have pleaded guilty in Wake County court for faking documents for mortgage loans they didn't pay back.

State Bank Commissioner Joseph Smith said Thursday that Douglas Scott Allen, Renee Keiser, Antonious Iskander and Matthew Garrett were involved in Saving Carolina, a company that said it offered families a chance at home ownership.

In 2008 and 2009, the four got mortgages using false employment and income information, then recruited people to sign rent-to-own agreements. The rental payments made to the company were never applied to the mortgage loans, which went into default.

Allen pleaded guilty to five counts of obtaining more than $100,000 in property under false pretense and was sentenced to 44 to 62 months in prison. Iskander and Garrett pleaded guilty to residential mortgage fraud and were placed on probation for 18 months. Keiser also pleaded guilty to residential mortgage fraud and was sentenced to the eight months she already had served in jail.

The convictions were the first under a law passed in 2007.