Phoenix Police officers ordered to pay $450,000 for fraudulent mortgage deals, according to azcentral.com.
The solicitors would persuade residents to transfer title of their home to the businesses at prices well below market value, investigators discovered. The investigation revealed that owners then were allowed to continue to live in their homes as renters with the option to repurchase their properties within one year for additional fees.
“If the owner-turned-renter violated any of the conditions, such as by making a late rental payment or being evicted, the option to repurchase the home became void and the individual was subject to immediate eviction,” the Attorney General’s Office announced in a statement.
The Phoenix Police lieutenants are also accused of charging exorbitant fees to manage the properties.