FRESNO, Calif. - Eric Ray Hernandez, 37, of Bakersfield, was sentenced today to 10 years and 10 months in prison for conspiracy to commit mail fraud, wire fraud, and bank fraud in connection with a mortgage fraud scheme.
According to court documents, between October 2005 and May 2007, Hernandez conspired with others to defraud mortgage lenders by submitting false loan applications and fraudulent documentation to lenders, causing the lenders to fund mortgage loans for the defendants’ benefit on the basis of false and misleading information.
During this time period, Hernandez was employed at mortgage brokerages in Bakersfield.
The defendants submitted to lenders loan applications that included material misstatements concerning the borrowers’ income, assets, employment, and the borrowers’ intent to reside in the properties as owner-occupiers, among other false statements.
The defendants also fabricated false supporting documentation and submitted it to lenders in support of the loan applications.
Eric Hernandez admitted in his plea agreement that the defendants caused the defrauded lenders losses of approximately $6,037,541.
The court also ordered Hernandez to pay $6,087,541 in restitution to the victims of the crime and to pay a forfeiture judgment of $6,037,541 to the United States.