Sydney broker pleads guilty to fraud

by Julia Corderoy23 Mar 2016
A former Sydney finance broker has pleaded guilty to three charges of loan fraud totalling more than $100,000.

Jennifer Mary Farias was the director Mortgage Finance & Insurance (MFI) which arranged finance for vehicles such as motorcycles, cars and jet skis on behalf of clients.

Appearing in the NSW Local Court at the Downing Centre in Sydney, Farias admitted to having received $96,270 in loan funds and $10,349.26 in commissions from a credit provider as a result of submitting 10 loan applications, through MFI, which contained false information and false invoices.

The invoices contained false information relied on by the credit provider when approving loans. Farias admitted the relevant loans would not have otherwise satisfied the credit provider's lending policies or would have been subject to more stringent lending policies. 

The false invoices also stated that approved loan funds should be deposited into bank accounts controlled by Farias rather than into those of the vehicle suppliers entitled to the proceeds of the loan funds.

One loan application was also supported by a false payslip purporting to show a customer had earned year to date income of $30,857.86 when in fact he had only earned $8,496.04.

An additional $20,000 in loan funds and $4,675.80 in commissions received as a result of fraudulent invoices were transferred by Farias to independent referrers or others who benefited from the supply of the false information.

The matter has been held over to 10 May 2016.