First reported 7/23/2010 2:16 p.m.
An Oak Park man who owned a real estate company has been indicted in a $35 million mortgage fraud scheme involving 120 homes, the U.S. Attorney’s office announced Thursday.
Stephen Iwerebon, 45, allegedly purchased properties and re-sold them in the scheme. He was one of seven people indicted by the U.S. Attorney’s office.
According to the indictment, Iwerebon and the other defendants created and provided loan applications for people to buy properties that contained false and fraudulent information.
They also allegedly provided fake documents with the loan applications, including falsified W-2s, bank statements, payroll checks and checks for down payments on the properties, the indictment said.
Iwerebon allegedly also gave kickbacks disguised as money to renovate the homes, to two other men involved in the scheme.
“He’s mostly a property developer, and he sold properties to people who used false information to buy them,” said Lisa Noller, Assistant U.S. Attorney and the case’s lead prosecutor.
When Wednesday Journal contacted Iwerebon by phone Friday afternoon, he declined to comment on the charges.