fake mortgage satisfaction
Federal Employee David Tyrone Johnson was busted for creating fake mortgage satisfaction documents

Creating fake mortgage satisfaction documents will force David Tyrone Johnson to spend 18 months in federal prison. Johnson was also sentenced to two years of supervised release.

Johnson pleaded guilty in April 2017 to charges of bank fraud and making false statements.

He must also pay $337,105 in restitution to Fidelity National Title Insurance Company. Johnson is also to forfeit $170,688 from the proceeds of an illegal real estate transaction.

SunTrust Mortgage loaned a friend of Johnson’s approximately $470,000 in 2008 to purchase residential real estate.

The friend had failed to repay the mortgage loans less than a year later.

The bank filed a notice of foreclosure with the District of Columbia’s Recorder of Deeds in 2010. SunTrust Mortgage began the process of foreclosing on the mortgage and taking possession of the property in April of 2013.

Johnson created two phony and forged certificates of satisfaction sometime before October 2, 2013. The documents also showed that his friend owned the property “free and clear.”

Johnson filed these two phony certificates of satisfaction with the Recorder of Deeds on October 2, 2013.

The fake mortgage satisfaction documents allowed the friend to sell the property without paying the outstanding mortgages. The title and escrow company wired the sales proceeds of $337,105 at the time of the sale of the property. Johnson received approximately $170,688 from the sale.

Johnson failed to disclose the sales proceeds from the property on a financial disclosure. Johnson’s failure to inform his government agency employer was material and was relevant to his job. As a result, this resulted in a false statement on his financial disclosure form.