Why Mortgage Fraud Schemes Don’t Benefit Attorneys

by Isaac Benmergui, Esq on November 13, 2013

This is a shining example of what not to do as a real estate lawyer: get involved in a mortgage-fraud scheme. Specifically, in Las Vegas, Nevada, one particular counsel felt the heat as Mr. Gerry Zobrist was sentenced to 87 months in federal prison on a guilty plea and count for conspiracy to commit wire and bank fraud. This was a crime costing lenders literally $30MM in funds.fraud

So, obviously, someone has to be held accountable. When dealing with real estate money, there’s money at stake. However, it’s a comforting thought that due to his guilty plea and cooperation with governmental authorities, he wasn’t required to surrender for his prison term until this coming December. So Zobrist still has some time to prepare.

When the sentence was announced in court, however, paramedics were notified to arrive and tend to the lawyer’s wife, for good reason. The woman sobbed, shook feverishly and hyperventilated at the idea that her husband of more than 20 years would be going to jail for more than 7 years. He would be away from their children as well.

We have to bear this important fact in mind, though: lawbreakers face their consequences. It was reported, too, that Zobrist was even ordered to pay $31MM in restitution for his crime. Chalk that one up as another hard-hitting, cold truth of justice served. Zobrist is 43 years old. His next seven years will be behind bars.

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