The Michigan Attorney General’s Office says a man pleaded guilty to two felonies and 27 misdemeanors for stealing money from Michigan residents who were facing mortgage foreclosures or needed help managing their credit card debt.
Pasquale Longordo, 39, of Birmingham and his company Modified Loan Experts pleaded guilty in front of Judge Wendy Potts of Oakland County Circuit Court to the following charges, says Attorney General Bill Schuette:
• One count of False Pretenses, a five year felony;
• Six counts of Attempted Debt Management Act, a misdemeanor;
• Seven counts of Credit Services Protection Act violations, a misdemeanor; and
• One count of Unemployment Compensation Fraud
Longordo also paid $125,000 in restitution, which will be distributed to his victims.
“Today’s guilty plea brings some closure and more importantly restitution to the men and women left in a financial hardship due to this man’s deception,” said Schuette. “Individuals who take advantage of people when they are going through a hard time for their own personal benefit will not be tolerated. I want to thank my Homeowner Protection Unit for their diligent work in bringing this case to a close.”
According to the Attorney General’s Office, Longordo and his company allegedly promised victims that they would have an attorney assigned to represent them, and negotiate mortgage modifications on their behalf with mortgage companies. This did not happen, and many of the victims lost their homes as a result, says the release.
“Pasquale Longordo took advantage of victims desperate to keep their homes. He not only mislead them in his ability to negotiate on their behalf, rendering them helpless, but he also took their money and used it for his personal gain,” said Catherine Huber, Special Agent in Charge, Midwest Region, Federal Housing Finance Agency, Office of Inspector General. “The guilty plea today is the first step in holding him accountable for his criminal conduct. Our office is committed to working with our law enforcement partners to seek justice for victims of this type of fraud.”
Also, Longordo was operating a credit card debt management service where he allegedly told victims he was putting their funds into an escrow account and that he would use the payments to negotiate their debt with credit card companies. According to the release, he was putting the victims’ funds into a regular bank account and allegedly used that account like his personal ATM.
During this time, the release states Longordo was allegedly receiving unemployment compensation as well, although he was not eligible.
The Department of the Attorney General was assisted on this case by the Federal Housing Finance Agency, Office of Inspector General.