Baltimore, Maryland – A federal grand jury returned an indictment on August 16, 2022, charging Matthew C. Browndorf, age 51, of Irvine, California, with four counts of wire fraud and 4 counts of revenue laundering arising from a scheme to defraud the customers and workforce of a foreclosure law company that he owned by stealing extra than $3.9 million. Browndorf is presently envisioned to have an initial overall look on September 2, 2022, in U.S. District Courtroom in Greenbelt.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron Particular Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Subject Business office and Performing Specific Agent in Cost Kimberly Davis of the Federal Housing Finance Agency, Place of work of Inspector General.
In accordance to the indictment, Browndorf, a certified attorney, was a associate at a California law business and the Main Govt Officer of Plutos Sama, LLC, a minimal liability corporation arranged in Delaware, but principally located in California.
As in depth in the indictment, Plutos Sama owned BP Fisher Regulation Group, LLP, a law organization situated in Prince George’s County, Maryland, that represented loan companies and mortgage loan financial loan servicers in foreclosures and default proceedings in Maryland and the District of Columbia. BP Fisher acted as substitute trustee for loan companies and house loan bank loan servicers who experienced lawfully enacted foreclosure proceedings on houses in Maryland that were in default. The proceeds of those foreclosures would be transferred into BP Fisher’s rely on accounts.
The indictment alleges that at the time the proceeds of the foreclosures ended up deposited into BP Fisher’s rely on account, Browndorf transferred or directed the transfer of these cash out of the trust account and into other accounts that Browndorf controlled, when all those cash should really have been paid to BP Fisher’s clientele. The indictment even more alleges that Browndorf similarly directed the transfer of funds out of BP Fisher’s functioning accounts, which typically triggered BP Fisher to be not able to shell out its everyday company bills, which include worker payroll, worker wellbeing insurance policy positive aspects, and personnel retirement gains. Browndorf allegedly employed the stolen cash to pay out for his own expenses, the individual costs of family associates, or bills incurred by Plutos Sama. Finally, the indictment alleges that Browndorf stole a lot more than $3.9 million.
If convicted, Browndorf faces a maximum sentence of 20 yrs in federal jail for every single depend of wire fraud and a optimum sentence of 10 several years in federal jail for each individual rely of money laundering. Precise sentences for federal crimes are commonly a lot less than the highest penalties. A federal district court docket judge will determine any sentence after taking into account the U.S. Sentencing Rules and other statutory factors.
An indictment is not a locating of guilt. An person billed by indictment is presumed harmless except and till established responsible at some later on criminal proceedings.
United States Legal professional Erek L. Barron counseled the FBI and FHFA OIG for their perform in the investigation. Mr. Barron thanked Assistant U.S. Lawyers Matthew P. Phelps and Stephanie Williamson, who are prosecuting the federal scenario.
For more details on the Maryland U.S. Attorney’s Office, its priorities, and sources obtainable to assist the group, please stop by www.justice.gov/usao-md and https://www.justice.gov/usao-md/neighborhood-outreach.
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