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Sydney man convicted of $7 million home loan fraud

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Australian Broker | 08 Jul 2015, 08:00 AM Agree 0
A former Aussie Home Loans representative has been convicted and sentenced on charges relating to a home loan fraud worth $7 million
  • Regional Broker | 08 Jul 2015, 10:42 AM Agree 0
    2 Questions

    1: why did the Aussie Loan processors not pick this up ? Or maybe they did ?
    2: Why no prison , fraud is fraud ??? Community service ???

  • AF | 08 Jul 2015, 11:00 AM Agree 0
    Weak penalty
  • Stephen Dinte | 08 Jul 2015, 11:11 AM Agree 0
    Unfortunately, like too many stories published, the full details are not provided.
    The main question I have is:- Who identified this occurrence, one of the involved banks or someone at Aussie?
  • Iridiumfs | 08 Jul 2015, 11:38 AM Agree 0
    Surprising considering the sorts of penalties dished out to financial advisers involved in misconduct.

    Clearly better to break the law as a mortgage broker than a financial adviser. Where is this splashed across the front pages of the dailies?
  • Peter Heinrich | 08 Jul 2015, 11:40 AM Agree 0
    Seriously weak penalty. I know of people who defrauded just over $200 and got 9 months gaol. While not wanting to hang the guy $7mill is a lot and 350 hours community service as a penalty doesn't send a very strong message.
  • DG | 08 Jul 2015, 11:40 AM Agree 0
    Community service for 7 million fraud? It's beyond the joke.
    Both the aggregator and the banks were sleeping on their wheels.
  • Franky | 08 Jul 2015, 12:24 PM Agree 0
    C'mon it's not that bad is it. I'm sure the customers could afford the debt.
  • Sydney Broker | 08 Jul 2015, 03:54 PM Agree 0
    Heard John Symond on 2GB that this broker was dismissed from Aussie months ago as soon as they found out.
  • Tim H | 08 Jul 2015, 04:24 PM Agree 0
    ASIC say they vigorously pursue offenders. Maybe that is right but hard to understand why they did not call for a harsher penalty for this person. As Regional Broker says Fraud is Fraud.
    A suspicious person might suspect that Aussie legal team negotiated a lenient sentence and minimal publicity to protect the brand, just saying .............
  • Jeremy Saunders | 10 Jul 2015, 12:29 PM Agree 0
    This is serious and organised investment fraud. 350 hours community service for this case is typical of a dysfunctional legal system in Australia. According to the NSW Crimes Act, Section 192E, fraud carries a maximum penalty of 10 years imprisonment. Where is the justice here? The judges who make these weak decisions and hand down light sentences send out the message that it's worth taking the risk. There is no deterrent here. They should be more educated of the effects of financial fraud on the community just like other sorts of serious crime.
  • Broker | 10 Jul 2015, 05:45 PM Agree 0
    My ex business partner from many years ago was just given a "friendly tap" on the shoulder by a major bank for an amount of I estimate easy 50 million plus of mortgages, that were written with totally fraudulent documents and told to simply walk away.

    It is obvious that the major bank did not even report this Broker to ASIC, the MFAA or FBAA , as nothing ever happened to this Broker.

    These days this person is no longer a Broker, but his/her domestic partner has become a Broker!
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