In 2014, Carriger was charged with 24 counts of fraud in a federal indictment alleging he and three other defendants conspired to defraud distressed homeowners after the housing bubble burst in 2007-2008 by offering mortgage modification services. Two defendants plead guilty and cooperated against Carriger. At the first jury trial in 2019, the government dismissed 14 counts of mail fraud, the jury acquitted him of 9 counts and deadlocked on one count of conspiracy to commit mail fraud. The other defendant was convicted of all charges.
At re-trial in February 2020, Attorney’s Correen Ferrentino and Julie Goerlinger obtained a not guilty jury verdict on the one remaining count of conspiracy. Mr Carriger walked out of court acquitted of all charges after a 6 year battle with the federal government to prove his innocence and clear his name. The evidence in both trials showed he was an employee who cared about his clients, worked hard and was a successful salesperson. That success the government tried to spin as his efforts to assist the owners in defrauding homeowners. The government failed to convince jurors this was true. But the stress of this battle took a tremendous toll on Mr Carriger and his family’s health and well being and his ability to work. He looks forward to returning to focusing on his wife and children, his health and finding a new industry in which to gain employment.
National Increases in Mortgage Fraud Charges
Mortgage Fraud is a general category within which numerous other types of fraud are defined: Insurance fraud, mail fraud, employment fraud, appraisal fraud and more. It may be perpetrated by participants in a loan transaction, where those facing charges could be the borrower (a loan officer originating the mortgage), an appraiser, escrow representative or even multiple parties in more complex cases.
In June 2008, the mortgage fraud caseload for the FBI was found to have doubled in the past three years to more than 1,400 pending cases, as indicated by the FBI in this informational release at the fbi.gov website.
Additionally, in May 2009, the Fraud Enforcement and Recovery Act of 2009, or FERA, Pub.L. 111–21, 123 Stat. 1617, S. 386, public law in the United States, was enacted. The law takes a number of steps to enhance criminal enforcement of federal fraud laws, particularly involving financial institutions, mortgage fraud, and securities fraud or commodities fraud. More information on the increasing prosecution of mortgage fraud can be found at the senate.gov website.