Russian Home Loans for Sale

Sometimes the news is just too much like an episode of Rocky and Bullwinkle…

According to the New York Post, a ring of Russian fraudsters “brokered $200 million in bogus home loans using phony buyers and identity theft, and pocketed more than $4 million in ill-gotten commissions, prosecutors charged yesterday.”

The group, made up of Aleksander “Shorty” Lipkin, Igor “Ryzhiy” Mishelevich, Alex “Lyosha” Gorvitz, operated out of AGA Capital, a Brooklyn mortgage firm and paid straw buyers to pose as legitimate applicants.

In some cases, the ring stole people’s identities and submitted loan applications on their behalf – without their knowledge, of course.

“Profits were jacked-up by obtaining artificially inflated appraisals that made it seem as though the homes were worth more than their actual sales prices. The ‘buyers’ then defaulted on their loans, forcing banks and other lending institutions to either foreclose on the properties or re-purchase the homes at rock-bottom prices.”

As Boris would say, “Raskolnikov!”

Bill Bonner

Bill Bonner

Since founding Agora Inc. in 1979, Bill Bonner has found success and garnered camaraderie in numerous communities and industries. A man of many talents, his entrepreneurial savvy, unique writings, philanthropic undertakings, and preservationist activities have all been recognized and awarded by some of America’s most respected authorities. Along with Addison Wiggin, his friend and colleague, Bill has written two New York Times best-selling books, Financial Reckoning Day and Empire of Debt. Both works have been critically acclaimed internationally. With political journalist Lila Rajiva, he wrote his third New York Times best-selling book, Mobs, Messiahs and Markets, which offers concrete advice on how to avoid the public spectacle of modern finance. Since 1999, Bill has been a daily contributor and the driving force behind Markets and Money.

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