subscribe to our newsletter
Ex-broker pleads guilty to loan fraud

Ex-broker pleads guilty to loan fraud

A former Sydney broker has pleaded guilty to three charges of loan fraud which resulted in her receiving more than $100,000.

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

Appearing at Downing Centre Local Court in Sydney, Ms Farias admitted she had 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 invoices.

According to ASIC, the credit provider relied on the invoices containing false information 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 Ms Farias rather than into those of the vehicle suppliers entitled to the proceeds of the loan funds,” the regulator said in a statement.

“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.”

ASIC said 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 Commonwealth Director of Public Prosecutions is prosecuting the matter which has been held over to 10 May 2016.

[Related: Former director found guilty of 'fraudulent misappropriation']

 

Ex-broker pleads guilty to loan fraud
mortgagebusiness logo

Latest News

The most expensive segment of the property market has experienced the sharpest fall in dwelling values over the past 12 months, according to...

Melbourne suburbs have experienced the largest property value growth over the last 25 years, according to new research. ...

Recent reports suggest that the recent rate hike in the US will impact Aussie mortgage rates. Meanwhile, pricing has become the default leve...

Promoted Stories

podcast

LATEST PODCAST: How the market has changed in the last 25 years, royal commission hearings, broker advocacy

Do you expect access to credit to get harder this year?