Man gets probation in bank fraud case

Rob a bank of $20 with a gun and go to prison. Rob a bank of $2.4 million with phony paperwork and get probation.

At least probation is what former Las Vegas resident Joseph Manfredonia was offered in September by U.S. Attorney Daniel Bogden in exchange for a guilty plea to bank, mail and wire fraud.

U.S. District Judge Phillip Pro on Thursday sentenced Manfredonia, 43, to six months of house arrest, five years of probation, restitution and a fine of slightly more than $1 million.

Justice Department spokeswoman Natalie Collins said Manfredonia recruited people to submit false mortgage loan applications to the federally insured Wells Fargo Bank for two years beginning in 2003, when the housing market was flying high.

The six bogus loans, Collins said, cost the bank $2.4 million.

From 2003 through December 2004, Manfredonia entered into a conspiracy to recruit straw buyers with a fabricated history of good credit to buy houses in Las Vegas, Collins' statement said.

Collins said Manfredonia, of New Jersey, included false histories regarding employment, income and assets for people who would not qualify for a home loan without the bogus information.

Manfredonia would then forward the applications to Wells Fargo and would divert the funds by wire transfer to his bank account or the account of Kevin Wright, his co-defendant.

As part of his sentence, Manfredonia is barred from employment in the mortgage and real estate industries.

Collins encourages anyone with information on mortgage fraud to call (702) 584-5555.

Contact Doug McMurdo at dmcmurdo@reviewjournal.com or 702-224-5512 or read more courts coverage at lvlegalnews.com.