Long Island Mortgage Lender Gets 24 Months In Prison For $8.9 Million Mortgage Fraud Scheme
A former Long Island Mortgage Lender going to federal prison for 24 months. He will also serve three years of supervised release. Voss is the former COO of Long Island mortgage lender Vanguard Funding, LLC. The court will determine restitution at a later date.
Matthew Voss pleaded guilty to conspiring to commit wire and bank fraud in February 2018. Voss illegally diverted of more than $8.9 million of warehouse loans that Vanguard had fraudulently obtained purportedly to fund home mortgages and mortgage refinancing.
Richard P. Donoghue, United States Attorney for the Eastern District of New York:
Matthew Voss has been held accountable for using his extensive knowledge of the mortgage industry to deceive banks and divert money for his personal use. This Office will vigorously investigate and prosecute those who commit fraud.
FBI Assistant-Director-in-Charge Sweeney stated:
Thanks to the dedicated work of our law enforcement partners, today’s sentence proves that those who use their expertise to deceive others for their own financial gain will be held accountable to the fullest extent of the law.
Voss and his co-conspirators at Vanguard engaged in a warehouse loan scheme from August 2015 through March 2017. They falsely obtained more than $8.9 million in short-term loans aka warehouse loans.
Investors were told that the funds were being used to fund specific mortgages for Vanguard clients. Instead, Voss and his co-conspirators diverted the funds to pay personal expenses and compensation. They also used the funds to pay off loans they had previously obtained through false loan applications.
The USAO’s Business and Securities Fraud Section handled the case. Assistant United States Attorneys Whitman G.S. Knapp and Elizabeth Losey Macchiaverna are in charge of the prosecution.