Local News

Mortgage broker pleads guilty to phony loan scheme

Posted July 10, 2008 8:08 p.m. EDT

— Mortgage broker Kimberly C. Taylor, 39, of Fayetteville pleaded guilty Thursday to federal bank fraud and identity theft in a scheme in which she used clients' identities to take out bank loans in their names and keep the money, the U.S. attorney's office said.

Taylor, U.S. Attorney E.B. Holding said, had been indicted last October after an investigation by the state commissioner of banks and the U.S. Postal Service.

The indictment charged her with 10 counts of bank fraud and two counts of aggravated identity theft, Holding said.

Taylor had been a broker for Wells Fargo, Advantage Mortgage and Nationsbest. The loan scam ran from June 2005 to August 2006, Holding said.

The convictions could bring a total of 32 years in prison and a fine of as much as $1 million. No sentencing date was set.