Montclair Man Pleads Guilty to Mortgage Fraud - Baristanet

BY Debbie Galant | Friday, Feb 25, 2011 9:30am | COMMENTS (5)

The former president of U.S. Mortgage Corp., 46-year-old Michael McGrath of Montclair, pleaded guilty yesterday to money laundering, mail fraud and wire fraud conspiracy in a $139 million mortgage fraud case. Under terms of the plea deal, he faces up to 20 years in prison. Sentencing is scheduled for October. Details at NJ.com.

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5 Comments

POSTED BY deadeye | February 25, 2011 @ 9:53 am
Mr. McGrath, meet Mr. Madoff. Hoping for maximum restitution and disgorgement here.
POSTED BY brightside | February 25, 2011 @ 1:57 pm
Slow news day? According to your link, this story is two years old.
POSTED BY rubberchix | February 25, 2011 @ 2:18 pm
Here’s the new news:

NJ man sentenced to 14 years in mortgage fraud
Feb 24, 2011 8:27 PM ET By The Associated Press

NEWARK, N.J. (AP) — The former president of a New Jersey-based mortgage company has been sentenced to 14 years in federal prison for orchestrating a $136 million fraud scheme.

Forty-seven-year-old Montclair resident Michael McGrath had pleaded guilty to mail and wire fraud conspiracy and money laundering.

At Thursday’s sentencing in U.S. District Court in Newark, he also consented to forfeiture of the proceeds and $14 million of his assets that the government has seized or frozen.

Prosecutors say McGrath and other officials of Pine Brook-based U.S. Mortgage Corp. conspired to sell to Fannie Mae hundreds of loans belonging to various credit unions and falsified records to conceal the sales.

McGrath admitted he used the proceeds for personal investments and to prop up his company, which went bankrupt after investigators uncovered the scheme.

Copyright © 2010 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. .
POSTED BY bebopgun | February 26, 2011 @ 10:00 am
How many other Mr. McGrath’s are crawling around the our tony village of mansions? He’s the tip of the iceberg.
POSTED BY spectator | February 26, 2011 @ 10:24 am
Stuff it bebobgun. It’s the only way a hard working family man can afford the confiscatory Montclair taxes to support the entitlements that you and your fellow leechs require.

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