From The MFI-Miami Mortgage Fraud Files: Missouri Man Sentenced to Five Years in Prison For $1.2 Million Mortgage Fraud Scheme

A Missouri Federal Judge has sentenced Edward James Mitchell Jr. to five years in prison for mortgage fraud. Prosecutors alleged Mitchell fraudulently obtaining home mortgages totaling more than $1.2 million. The court also ordered Mitchell to repay a total of $482,096 to lenders for their losses. Prosecutors say Mitchell fraudulently pulled out home mortgages from October 2021 through November 2023.

Mitchell’s company, Home Team Solutions LLC, purchased three homes in St. Louis and one in Florissant, Missouri. Mitchell then pretended to be one of his relatives to “buy” two of the homes. To do this, he submitting fraudulent mortgage loan applications with false employment and financial information. He even used his relative’s Social Security number and birthdate. He bought another home himself and sold another to his paramour. Again, he submitted false or fraudulent documents.

The total value of the loans was $1,226,550. All the lenders suffered losses due to Mitchell’s fraud. Mitchell sold one home at a discount and sold another in a foreclosure sale. He also sold a third home in a short sale.

FHFA-OIG’s Central Region Special Agent told the media:

“The Federal Housing Finance Agency Office of Inspector General (FHFA-OIG)  carefully investigates allegations of mortgage fraud involving the government-sponsored enterprises, Fannie Mae and Freddie Mac. We are proud to work with our partners in this investigation.”

Mitchell pleaded guilty in April in U.S. District Court in St. Louis to one felony count of bank fraud.

In October 2023, Mitchell legally changed his name to Musa Muhammad.

The FBI and the Federal Housing Finance Agency Office of Inspector General investigated the case. Assistant U.S. Attorney Kyle Bateman prosecuted the case.

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