A federal grand jury in Connecticut returned an indictment on:
• Aria Maleki, 33, Santa Ana;
• Serj Geuttsoyan, aka Anthony Kirk, 33, Santa Ana;
• Mehdi Moarefian, aka Michael Miller, 36, Irvine;
• Daniel Shiau, aka Scott Decker, 30, Irvine;
• Kowit Yuktanon, aka Eric Cannon, 31, Huntington Beach;
• Michelle Lefaoseu, aka Michelle Bennett, 41, Huntington Beach; and
• Cuong Huy King, aka James Nolan and Jimmy, 32, Westminster.
Federal agents also seized $350,000 from bank accounts, $362,000 from a bitcoin account, a $100,000 cashier’s check and a 2013 Ferrari 458 Italia.
They are all charged with conspiracy to commit mail and wire fraud. In addition, all except Maleki are charged with one or more counts of mail fraud, and Moarefian, Yuktanon, King and Shiau are each charged with one of more counts of wire fraud.
Prosecutors believe Maleki was the leader of an operation that began around March 2009 in which homeowners across the country were cold-called and offered loan-modification services at favorable terms in exchange for upfront fees ranging from $2,500 to $4,300 that supposedly covered closing costs and other expenses, the indictment says.
The suspects used false names and falsely told potential clients their loans had already been negotiated with lenders and that they would receive help from government programs such as the Troubled Assets Relief Program and the Home Affordable Modification Program, according to the indictment.
If the loan modifications fell through, the homeowners were told they would be refunded the fees paid.
To further induce homeowners, they were shown fake and misleading documents printed with “Government Loan Modification Application” and “Loan Modification-Home Saver Legal Program” and told the paperwork would be sent to various government mortgage relief programs.
The group changed business names several times to avoid being detected and defied cease-and-desist orders, including one from the state of Connecticut Department of Banking in December 2013, prosecutors allege. All the businesses had California addresses.
The case is being prosecuted in U.S. District Court in Connecticut.
Each of the seven faces up to 20 years in federal prison on each count and an additional 10 years for participating in a crime that invoked telemarketing fraud and victimized 10 or more people over 55.
They are expected to be appear in court Feb. 17.
Contact the writer: 714-796-2478 or lcasiano@ocregister.com
