Federal authorities have arrested a Howland Township man who they say owns several gas stations in the area, and allegedly carried out a scheme to cheat a bank out of more than $2.5 million. Fifty-five-year-old Shaukat Sindhu was arrested Wednesday by U.S. Marshals on a charge of bank fraud. According to an affidavit filed by FBI Special Agent Aaron Hayes, Sindhu and several alleged co-conspirators were able to reduce or eliminate the principle owed on the mortgages for several gas stations in Northeast Ohio through a bank fraud scheme. Agent Hayes says the origins of the scheme date back to 2006, when Sindhu purchased twelve gas stations. The affidavit says that Sindhu purchased other gas stations using straw buyers, but in reality continues to be the owner and operator of the businesses. According to the Department of Justice, a straw buyer in the context of mortgage dealings, is someone who allows their name to be used to purchase property. When Sindhu failed to pay the mortgages on the properties, First Midwest Bank of Illinois initiated foreclosure proceedings. The affidavit says Sindhu created two false identities to mislead First Midwest Bank and Consumers National Bank of Minerva, Ohio. Investigators say Sindhu used one false identity to negotiate with Midwest Bank to buy the mortgage notes on the properties at a discount because of Sindhus inability to afford the mortgages. Meanwhile, Sindhu allegedly used the second false identity to negotiate with Consumers National Bank to secure financing to pay off what he hoped would be a reduced mortgage from the short sale on his properties from Midwest Bank. Investigators identify the straw buyer for the Consumer National Bank loan as Tahir Iqbal, a close family friend of Sindhu who has not been charged.
Posted on: Thu, 15 Jan 2015 04:13:51 +0000
Trending Topics
Recently Viewed Topics
© 2015