Broker stole from new clients to help old clients

by Adam Smith21 Aug 2014
A mortgage broker who admitted to attempted deception and faking a signature on a mortgage document used new clients' money to help struggling existing clients, it has been claimed.

Malcolm Royce Jones, a South Australian broker, is due to be sentenced next month over deception and faking a signature on a $170,000 mortgage document, the ABC has reported. Jones admitted to a range of offences in police interviews, and prosecutor Peter Longson said more charges are expected to be laid.

Jones' defence lawyer has described the broker as a "hardworking, Christian father of three" who used funds from new clients to help existing clients struggling to make repayments in the wake of the GFC, the ABC has reported.

"He has been, in a sense, a really good guy all his life, he has wanted to please people and do the right thing," Jones' defence lawyer, Andrew Moffa said.

Moffa said some of Jones' property investor clients were unable to service their loans due to the GFC.

""A lot of the borrowers were not paying their mortgage payments to the lenders, so [Jones] robbed Peter to pay Paul."

Moffa said Jones had hoped the market would improve to allow him to pay back new clients.

COMMENTS

  • by Jason 21/08/2014 8:32:03 AM

    I saw the Headline & was so hoping his name was Robin Hood.....

  • by David 21/08/2014 1:04:10 PM

    Yeah right !! -why didn't they just sell

  • by SEQ BRoker 27/08/2014 7:57:56 PM

    Forged Signature = get out of the industry. He knew better, regardless of the circumstances.