By: Yuritza Arroyo
Federal authorities announced that a Hudson County real estate investor has admitted conspiring to orchestrate a fraudulent home equity line of credit scheme that led to over $400,000 in losses.
According to federal officials, Anthony Garvin, 52, of Jersey City, pleaded guilty by videoconference on Dec. 2, before Newark federal court to one count of conspiracy to commit bank fraud and four counts of bank fraud.
According to documents filed in this case and statements made in court:
Between 2011 and 2014, Garvin orchestrated a scheme to defraud banks by conspiring with others to fraudulently obtain multiple home equity lines of credit, known as HELOCs, on real estate that Garvin owned.
Documents state, that in order to hide his fraud from lenders, Garvin and his conspirators prepared and submitted loan applications that contained lies and fake supporting documents, including fake pay stubs, W-2 forms, tax returns, bank account statements, and deeds.
Garvin split his fraud proceeds with his conspirators and defaulted on all the loans. Garvin’s scheme ultimately resulted in over $400,000 in losses to the lenders.
The count of bank fraud conspiracy and each count of bank fraud carries a maximum potential penalty of 30 years in prison, a fine of $1 million, or twice the gross gain to the defendants or twice the gross loss to others, whichever is greatest. Sentencing is scheduled for April 11, 2023.
Two conspirators previously pleaded guilty and are awaiting sentencing.