The Plot Thickens in Fraud Park

Back in October, we did a post on a property in North Park and discovered some fraud going on. Even Casey Serin stopped by and posted a comment. Recently, I’ve gotten some excellent leads on even more fraud going on in Irvine and beyond. I’d like to thank graphrix, brealiving, and IrvineMom for all their help in uncovering this. This thread in our forums was extremely helpful.

Figuring out how all the fraud is connected is a lot of work. Writing a post to explain it is even more difficult. So please accept my apologies if this is hard to follow. Also, because I’m convinced there is something shady going on here, I’m not going to go through the extra work of jumbling names, etc. It’s all public information anyways.

OCRenter at Bubble Tracking and his readers have made some inroads as far as getting the Main Stream Media to notice what’s being said on the blogs (regarding flippers, fraud, etc.). Hopefully, we can get some exposure to this story as well. 🙂

So let’s begin!

It appears this group of people purchased 7 homes in North Park in late 2005 and early 2006. Here are the details:

71 Avondale (MLS I703478) – Listed at $725,000 – Short sale
– Purchased by Nurer Chapa and Moktadul Hussain on 12/28/2005 for $735,000

43 Modesto (MLS I703441) – Listed at $750,000 – Short sale
– Purchased by Nurer Chapa and Moktadul Hussain on 12/29/2005 for $750,000

86 Sorenson (MLS I703639) – Listed at $630,000 – Short sale
– Purchased by Nurer Chapa and Moktadul Hussain on 12/22/2005 for $735,000

78 Sorenson (MLS I703654) – Listed at $630,000 – Short sale
– Purchased by Marina Yeasmin and Helal U Mozumder on 10/13/2005 for $715,000

5 Winterfield (MLS I703388)
– Listed at $709,000 – Short sale
– Purchased by Marina Yeasmin and Helal U Mozumder on 11/22/2005 for $726,000

1 Thorn (MLS I703426) – Listed at $875,000
– Purchased by Marina Yeasmin, Helal U Mozumder, Moktadul Hussain, and Nurer Chapa on 10/27/2005 for $840,000

63 Modesto
– Purchased by Nurer Chapa and Moktadul Hussain on 3/15/2006 for $715,000
– Transferred to Crossroads Enterprises Inc on 11/28/2006

You can see how the property at 1 Thorn ties all 4 of these people together (it looks like they are 2 couples). Also, ALL 7 of these properties were purchased on 100% financing. The 6 properies that are on the market are listed by Darlene Gallegos of Century 21 Beachside (just click on the links and you’ll see this). Of the 6 that are listed, 5 of them say they are short sales in the private remarks.


Here we have 4 more homes in North Park that are linked together:

3 Del Mar #10 (MLS I703772) – Listed at $870,000
– Purchased by Sabina Yeasmin on 4/27/2005 for $750,000
– Transferred to a revocable intervivos trust in the name of David Schumacher via a Warranty Grant Deed on 9/19/2005

81 Sorenson (MLS I703686)
– Listed at $725,000 – Short sale
– Purchased by Sabina Yeasmin on 5/26/2005 for $700,000
– Transferred to a revocable intervivos trust in the name of David Schumacher via a Warranty Grant Deed on 9/19/2005

47 Middlebury
– Purchased by Mansurul Hoque on 4/28/2005 for $745,000
– Transferred to a revocable intervivos trust in the name of David Schumacher via a Warranty Grant Deed on 9/19/2005

12 Apple Valley
– Puchased by Mansurul Hoque on 10/16/2006 for $869,000

So how is Group 1 linked to Group 2? There are a few connections although I’ll be the first to admit they are kind of loose. First, the Sabina Yeasmin in Group 2 could be related to the Marina Yeasmin in Group 1. Second, 81 Sorenson in Group 2 is practically next door to 78 Sorenson and 86 Sorenson in Group 1. Third, the agent listing the properties in Group 2 is also listing the properties in Group 1. What do you think?

David Schumacher is the common element here in Group 2. Anyone know what a revocable intervivos trust or a Warranty Grant Deed is? All 4 of these homes were purchased using 100% financing. Also, I don’t have any info on Hoque’s properties. Does anyone know if there is a NOD on them? If not, they could be legitimate.



11 Solstice – On
– Purchased by Shapna and Khoka Hossain on 7/31/2006 for $950,000
– Transferred to First Capital Investments Inc on 11/28/2006

1 Armory – On
– Purchased by Manik Chowdhury on 5/9/2006 for $735,000
– Transferred to First Capital Investments Inc on 11/28/2006

68 Arcata – On
– Purchased by Manik Chowdhury on 5/9/2006 for $720,000
– Transferred to First Capital Investments Inc on 11/28/2006

39 Modesto – On
– Purchased by Giash Uddin on 7/31/2006 for $720,000
– Transferred to First Capital Investments Inc on 11/28/2006

Here, the common link is First Capital Investments Inc. All 4 of these properties are listed on They were all transferred to First Capital Investments on 11/28/2006. They were all initially purchased with 100% financing. Some of you may have noticed that the last propety, 39 Modesto, is the one that started the original fraud post back in October (yup, Shagi Indud = Giash Uddin). Apparently, all of Giash’s properties were transferred to First Capital Investments as well. Thanks to someone who may want to remain anonymous, I’ve come to find that there are 16 properties (7 from Giash, 3 from Group 3, and 6 others) that are owned by First Capital! And almost all of them are NOD!

Ok, we’ve got 11 homes in Groups 1 and 2 that could be connected. And we’ve got possibly 16 homes in Group 3. But is there a link between Group 3 and Group 1? Well, after a little bit of digging, I found out that the address for First Capital Investments AND Crossroads Enterprises is the SAME on the property records! Crossroads Enterprise is the entity that is on the title of 63 Modesto in Group 1. The address for both of these companies is: 25202 CRENSHAW BLVD STE 301, TORRANCE CA 90505.

That’s possibly 27 properties that may be intertwined in some sort of fraud!

Now what? Time to dig up what we can on these corporations. I’ve got some leads from a source who may want to remain anonymous. Apparently, First Capital Investments may be incorporated in Nevada. If anyone has information on these companies, please email me (zovall at gmail dot com) or post a comment. I’ll try to do a follow up post but it may take a while.

138 thoughts on “The Plot Thickens in Fraud Park

  1. Ananymous

    I’ve been recently introduced to all these great blog site on the current housing bubble. I think it’s great that the truth is being put out there.

    I did have a question on this posting though. I could see that all these houses are somehow connected. Assuming that this is correct, what is the fraud in a legal sense? It’s not a fraud to own more than one property right? If a group of people decided to purchase bunch of houses and decided to rent them out, that’s within law. Isn’t it? It’s bad investment to say the least, since they are losing money every month, but it’s not illegal, is it?

    Thanks in advance for clarification.

  2. JP

    Interesting article. To answer the first comment, it is not fraud to own multiple properties. But, after reading the blog, I did a property history for a few of the properties. It appears that they were all purchased at inflated values a few years back. These would not fit your typical “flip’ of a property, but they may have been inflated, and the equity at the closings would have been dispersed to the responsible parties. Ex: Property is worth $600,000. Buyer approaches seller with offer of $750,000. Seller gets his $600,000 and other parties get the $150,000. Buyer rents out property and collect rents – doesn’t matter if it covers the mortgage or not because they plan on letting it go into default anyway. They either make some payments to cover their tracks and/or the borrower files a BK to forestall the foreclosure (allowing more rents to be collected).

  3. IrvineMom

    Zovall – Great work. I am very impressed. I think there is a 4th group with properties (zip 92602 & 92620) bought in early 2007. They may not have NODs yet but soon. Do you know of this 4th group? I am thinking you do.

    Also, my research shows First Capital Investments is owned by a Real Estate Broker/Mortgage Broker in California, according to DRE’s.

  4. k.o.

    Jeez this stuff makes me mad…. but I think that if it were not for blogs like this, things would be ignored. great job zovall, keep up all the good work!

  5. iam900

    wow, this reads like a Sherlock Holmes piece! Great work!! Hope these a-holes are caught and get locked up for a long time.

  6. oc_fliptrack

    Groups 1 and 2 could be legit specuvestments gone bad. The standard fraud scenario would’ve sent these properties to REO long ago given that they were picked up in 2005.

    It’s group 3 that concerns me. When was their NOD filed?

  7. eek

    This is OT but look at the picture for 3 Del Mar. There’s a small roof over the front door, yet there are giant water trail stains above the door. That right there is why I will never buy a McMansion…shoddy design. That’s not the first time I saw that either. My friend’s father is a home builder and a tract he built in Buena Park had the same problem as well. I never see that on older tract homes.

  8. Ananymous

    JP de Anan: Thanks for the explanation but I still don’t understand how it’s illegal. Can these guys go to jail for this?

  9. JP

    If the house is only worth $600,000, then the appraisal has been falsified. With these types of transactions, there is other fraud involved:
    – fake identity (the good fraudsters don’t have their real name anywhere in the transaction)
    – strawbuyers
    – falsified employment and income
    – non-discloure of all liabilities (multiple loans within a couple weeks of each other with different lenders)

  10. SoCalwatcher

    What I see here is:

    Homes were purchased by one company and were left to go NOD. Then, short sold to the other company these folks own who bought them back for less money to cash out some more equity?

    Oh no….RE Gypsies!!

  11. Ananymous

    JP de Anan: OK. Let’s assume that following four items as you listed are true.

    – fake identity (the good fraudsters don’t have their real name anywhere in the transaction)
    – strawbuyers
    – falsified employment and income
    – non-discloure of all liabilities (multiple loans within a couple weeks of each other with different lenders)

    Can these be prosecuted for misconduct/criminal action under the law? If so, I recommend alerting the police/AG/Prosecuter’s office/etc. I am sure it won’t be hard to prove right?

  12. JP

    Can these be prosecuted for misconduct/criminal action under the law? If so, I recommend alerting the police/AG/Prosecuter’s office/etc. I am sure it won’t be hard to prove right?

    Yes – bank fraud, mail fraud, wire fraud. I sent my contact at the FBI the information. But, there is not enough information to say this is fraud. You need to look at the HUDs and other loan documents.

  13. Mr Vincent

    This looks like straw-buyer fraud to me.

    If homes are bought at inflated prices for kick-back purposes, alot of people are hurt because among other things, it drives up comps for new buyers of other props in the area.

    There is going to be hell to pay in the OC!

  14. Brent

    I read this blog often…this fraud is very obvious. We should all be outraged. These people are pigs and should be dealt with to the full extent of our (weak) laws.
    It’s worse that these people are probably first generation immigrants who have taken advantage of our freedoms and trust.
    Deport the bastards! … after they serve time in our (weak) prison system.

  15. IrvineRenter

    Great work!

    IMO, the key ingredient that makes it all possible is 100% financing. Fraud is probably going to be responsible for making these kinds of loans disappear, even more so than the sky-high default rates. Fraud is just much harder to commit and much less lucrative when 5%-20% is not provided by the lender.

    I also agree with some of the more skeptical posters wondering about whether this is fraud or if it can be proven and prosecuted. There is nothing wrong with owning multiple properties, and if the buyers can show they got an appraisal (supposedly neutral), and if a lender went along, fraud is very difficult to prove. Basically, the lender will eat it, as they should. The lender should be able to go after these people’s assets, but if they have already spent the money and have no other tangible assets, there isn’t much the lender can do.

    The impact on comps caused by fraud is a short term phenomenon. Today’s inflated price caused by the fraud is tomorrows REO which takes the price back down. Of course, that doesn’t help those who bought when fraudulent prices made the comps too high, but such is life.

    I hope law enforcement goes after some of these people and makes a few high profile perp walks, but it is up to the lenders to stop this madness by making it harder to do.

  16. HB Bear

    How many legitimate buyers with families weren’t able to buy because of these people? It’s a disgrace.

  17. Bkshopr


    I am so impressed by your research. My wife 14 years ago was in the Citi Bank credit card fraud and collection department. In her experience A majority of the fraud she encountered were individual with Middle Easterner Surname. Because of the name is so long and so hard to keep track of the proper spelling. By switching Moktadul Hussain to Motkadul Hussein or to Moktudal Hussien. One can easily slipped by the system using a legal document with the right spelling such as a passport and green card. They charged the credit card to the max and default on the credit and moved on to using a slightly different spelling to apply for another credit card. Often she encounter different social security cards and different driver license belonging to the same applicant with just some switched letters in their names.

    It is really hard to verify when the spellings seem so similar. Even when the person was caught He or she blamed a typo error.

  18. IrvineMom

    Besides lenders make it difficult to commit frauds, how about educate the sellers and the real estate professionals to steer away from fraud schemes.

  19. Fraychielle

    This is an outrage. Messes things up for honest people out there who really want to live in the homes they buy.

  20. Tyrone

    Article said: “First, the Sabina Yeasmin in Group 2 could be related to the Marina Yeasmin in Group 1”

    You probably did this, but I figured I’d run the search.

    Perform a Yahoo people search on Sabina Yeasmin, then select the Intelius search at the bottom. This will bring up several Sabina’s, one shows a relation to Marina. That Sabina show several “previous cities”, RIVERSIDE, ANAHEIM, IRVINE, LOS ANGELES, TUSTIN; in other words, lots of address changes. Good evidence the flippers are related. I find it hard to believe there are that many “Sabina’s”, anyway.

  21. graphrix

    Zovall – This is a great post! Great detective work by you and all who added. This one is very complicated and very big.

    Tyrone – Sabina Yeasmin does own or owned that property too.

    IrvineMom – The First Capital that I found in the DRE was ID# 00878664.
    This doesn’t appear to be the one involved. Did you find a different one?

  22. ocrenter

    Wow, excellent work guys! Proving once again that fraud IS every where! zovell, you know and I know it doesn’t require a lot of digging before you realize something stinks. but a lot of folks are in pure shock that this even happens. and then they think we cherry pick the stuff that we find.

    27 properties, that’s putting Papa G and his clan to shame!

  23. IrvineMom

    graphix – I found DRE ID#01091396. I went to CA Business Search and found the officer name, then I did DRE search on the officer, then I googled the DBAs, then I matched the Crenshaw address that Zovall pointed out.

  24. IrvineMom

    Zovall mentioned that the groups share Listing Agent. My realtor friend searched the MLS for the listing agent and found 2 more groups of questionable sales (inflated price and 100% financing) that maybe related. I will get the groups from him and will post.

    I wonder with all the defaults out there, what percentage is distressed v.s. intentional. This information is critical to project how long the housing slum will last. Meaning how long should people wait to buy. I am not aware of anyone that I know is in mortgaged distressed to a point of foreclosing. U-Haul stated that there are more inbounds to OC, meaning there is demand for additional housing purchase in very near future.

  25. Ananymous

    There is no doubt that today’s real estate market, especially in So Cal, is filled with fraudsters. However, this fraud is not limited to a certain ethnicity/gender/group. Everyone with no morals/values took part in this scam. White/black/asian/immigrant/non-immigrant doesn’t matter….

    While it’s great that you are finding the truth, I think it’s important to keep this from steering into a racial/group profiling.

  26. IrvineMom

    I agreed with Ananymous – We must keep the blog free of colors! I like this blog because of the professional tones from people such as Zovall and graphix. We need to stay fair and truthful otherwise this blog will turn into gossiping where I would not want to participate.

  27. Dr. Housing Bubble

    Straw-buyer fraud probably funded by New Century Financial. The amazing thing about this blatant type of mortgage fraud is people are doing it with their names written all over multiple documents. Its like the bank robber who used the back of his home electricity bill to write out his demand to the teller. These folks have a bravado of “I’m not going to get caught” so they keep doing this. In this case they involved the entire family.

    I’ve e-mailing local media outlets and contacting my local representatives letting them know that I want these folks to be prosecuted. Why? Otherwise we all know where this will lead and we will be bailing out these people for the mess they got themselves into. If anything, they should foot the bill to the very end or at least make up the short-sale cost.

    Either way, do you want to bail out these families?

    Good work. I hate to say it but I’m seeing an exponential jump in cases like this.

  28. IrvineMom

    Dr. Housing Bubble – The fraudsters may have taken off to Bora Bora with the money they made. Their cooperating agents (Listing, selling, title, appraisers, loan officers, escrow, brokers), who are equally responsible, are left behind with the money they made, which should be returned to the poor REIT investors.

  29. Action required

    Everybody should consider contacting their local FBI office…

    per the FBI…

    Financial Institution Fraud: Criminal acts perpetrated by bankers, business people, developers, real estate brokers, lawyers and others against federally insured financial institutions creates huge economic losses for the government and all tax payers.

    The media representative for the San Diego Division, Special Agent Darrel Foxworth, handles inquiries from news organizations. SA Foxworth may be reached at 858-565-1255.

    The San Diego Division is located at:
    9797 Aero Dr. San Diego, California 92123
    Phone (858)-565-1255
    Fax (858)-499-7991

    FBI Los Angeles Field Office at (310) 477-6565.

    The Los Angeles Field Office of the FBI has Federal jurisdiction in Southern California, covering 40,000 square miles encompassing the seven countries of the Central District of California — San Luis Obispo, Santa Barbara, Ventura, Los Angeles, San Bernardino, Orange, and Riverside. The Central District of California is the most populated federal district in the country with a population of over 18 million.

  30. Steve the Dog

    Tyrone (21),

    I think you are on to something. I checked the CA Dept. of Real Estate using the license number on the “sample” application and sure enough, it belongs to one “Bhakta, Prakashkumar Chhotubhai”, of “15611 N PEAK LANE FONTANA, CA 92336”. Pretty sloppy.

    Steve the Dog


  31. Bubble Sitter

    Has anyone tracked who the sellers were for all these houses. A real estate agent or title rep could find that information. I would not be surprised to see they are all the same seller, or connected to each other in some way, perhaps to the “buyers”. I am catching a plane in an hour, but will be back Thursday. If no one has done a seller search on these properties by then, I will do it. This activity must stop and the criminals prosecuted. Be diligent. And good work to all involved.

  32. MissTrade

    Are all these families planning another 9/11 attack? I say that with all sarcasm, but how the heck do the credit providers let this stuff slide by? Good gawd its beyond funny, you can’t make up fiction as good as this stuff. Sounds like someone has a movie plot to work on this weekend.

  33. Hope To Buy In Irvine Some Year

    Maybe they are related to Saddam Hussein? Trying to do financial damage to our economy?? I hope not! =)

  34. almon

    i’m sure this has been answered multiple times…

    how can i find current financing information on homes? are there free website where i can look up? city records somewhere? if so, would i need the tract/lot numbers or just the street address?

    in this environment, it would be nice to know if a seller is motivated because of an existing loan that is due for a reset…thanks in advance.

  35. Tyrone

    Steve the Dog (32)

    Well done! The ignorance in posting these mortgage application “examples” is too much. Usually a criminal wants to keep a low profile on his/her crime.

  36. IrvineMom

    Zovall – My realtor friend found this group from the lease listing agent. Could you comment on this group?

    Group ?: The Alams

    38 Potomac, Irvine, 92620
    Prama Alam – Single Woman
    Sold Date: 11/17/2006
    Sold Price: $915,000
    List Price: $915,000
    100% Financing
    Lender: Reunion Mtg

    2 Pacific Crest, Irvine, 92602
    Prama Alam – Married Woman
    Sold Date: 11/22/2006
    Sold Price: $870,000
    List Price: $819,000
    100% Financing
    Lender: Sbmc Mtg

    27 Oroville, Irvine, 92602
    Mohammad Alam – Married Man
    Sold Date: 12/13/2006
    Sold Price: $1,100,000
    List Price: $995,500
    100% Financing
    Lender: American Broker Conduit

    21 Carpenteria, 92602
    Mohammad Alam – Single Man
    Sold Date: 12/26/2006
    Sold Price: $1,000,000
    List Price: $979,000
    100% Financing
    Lender: Wmc Mtg

    15 Evensen, Irvine, 92602
    Mohammad Alam – Single Man
    Sold Date: 12/29/2006
    Sold Price: $830,000
    List Price: $799,000
    100% Financing
    Lender: Aegis Home Equity

    56 Aborwood, Irvine, 92620
    Mohammad Alam – Married Man
    Sold Date: 01/12/2007
    Sold Price: $860,000
    List Price: $859,000
    100% Financing
    Lender: New Century Mtg

  37. waiting in LA

    Ananymous, I am sorry to say that I strongly disagree with you, It is not racial profiling to obvserve the obvious, These are criminal immigrants who do not care an ounce for this country. It is a crime that our government doesn’t protect Americans by keeping these people out of our country. This goes as well as the illigal aliens who also commit all kinds of fraud for their personal benefit. To these people scaming off americans is their real desire to come here, and unfortunatly with a government with polliticly correct bound
    hands, steeling from us is like taking candy away from babies.

  38. KLM

    Gotta be an Indian….So much fraud by these guys in California especially in Silicon Valley. These guys really belong in jail.

  39. IrvineRenter

    38 Potomac, Irvine, 92620
    Prama Alam – Single Woman
    Sold Date: 11/17/2006
    Sold Price: $915,000
    List Price: $915,000
    100% Financing
    Lender: Reunion Mtg

    I viewed this property. It was a complete remodel of an old single story into a new two story. This house was very nice inside and out, but the floorplan was a bit odd due to a creative staircase that cut up the great room. It is really overdone compared to the rest of the neighborhood. They were trying to rent the place for $2,850, so you can calculated the negative cashflow on the $915,000 purchase price.

    It looks like the Alam’s were either planning to become real estate moguls. With 100% financing from these sub-prime lenders, they were basically buying “call options” on borrowed money: if the market moves in their favor, they make huge money, if it moves against them, they walk leaving the problems for the lenders. Since they put no money into any of these transactions, why not?

    Yes, since they knew they weren’t actually going to make payments and “own” these properties, it is fraud, but the lenders made it far too easy for them to do it.

  40. Joe

    I live in NP and were always wondering why so many people are buying houses just for rent it out.
    The math is so simple: the income can’t cover the payment.

    There are some demand but not really that high, for example, I receive $200 rebate (out of $3200 /month) for my good credit, and my landlord said there are just not many people can meet the standard of 1/3 income pay to rent.
    Now, I understood the reasons why people do this in the NP so often which is one of most important factor drives the prices so high. For example 3 Paso Robles already empty for almost a year and still can’t rent it out. And there are a couple of more (such as 7 upland) the rent can only cover about half of the expense.

  41. IrvineRenter

    “the rent can only cover about half of the expense.”


    You just described the reason prices will fall dramatically.

  42. Ananymous

    Waiting in LA. In this case, it may the first generation migrants. But there are thousands of other cases where the perpetrators are Americans (white, black, asian, indian, doesn’t matter). My point is that this fraud is done by all groups, colors and genders. To stereotype a certain group based on few examples is simply “Un-American”.

  43. California_transplant

    Here’s a great article on subprime loans. I copied the best part of the article below:

    Lately, Clayton is finding more and more delinquencies as a result of fraud, rather than the usual death and divorce hardships of life.

    An investigation last fall, for instance, unearthed a New Jersey scheme that had the buyer and seller colluding to inflate the value of a house.

    Around the same time, an examination of a $500,000 California delinquency revealed a daycare worker falsely claiming to make $13,000 a month – out of her home!

    The con that will no doubt go down in company history involved a delinquent borrower who signed his loan paperwork as – you’re gonna love this – M. Mouse. Yes, that’s M as in Mickey.

    “The originator bought it back,” says Kevin Kanouff, who heads up the surveillance part of Clayton’s business. “That would have been a tough one to refute.”

  44. IrvineMom

    27 Oroville, Irvine, 92602
    Mohammad Alam – Married Man
    Sold Date: 12/13/2006
    Sold Price: $1,100,000
    List Price: $995,500
    100% Financing
    Lender: American Broker Conduit

    21 Carpenteria, 92602
    Mohammad Alam – Single Man
    Sold Date: 12/26/2006
    Sold Price: $1,000,000
    List Price: $979,000
    100% Financing
    Lender: Wmc Mtg

    I drove by these 2 homes, they are same house – 3-bedroom 2330 sq. ft. built by Lennar in Northpark. 21 Carpenteria looks better from the outside, it also looks abandoned. Both sold for above List Price and 100% financing, this make me think the buyer got money back possibly without telling the lender. Notice the same buyer name, different marital status, close within 2 weeks of each other. According to the MLS, MR. Alam(s) used 2 different buyer agents for the 2 properties. Question – Is it a real person? We will see if these 2 properties get on in a month.

  45. almon

    Okay, I can’t believe my eyes, reading all the blatant racism/prejudice being posted by #14 “Brent” and #39 “waiting in LA” and #40 “KLM”. I want to just chalk it up to mindless moronic chatter, but this dumbass talk is getting louder and just begging for a response!

    Let me insult ALL racial/occupational/sexual/country/age groups, in no particular order:

    1) ANYONE IN THE MORTGAGE INDUSTRY – who has ever processed, rubberstamped, xeroxed, proofread a negative-amort/IO/stated-income/false-appraisal loan. Since Irvine is 60% Caucasian and 30% Asian, the finger is pointing mainly at these two groups: There is no denying most of these loans passed through their hands.

    2) DODD AND CLINTON – I need a way to insult rich seniors and rich women, so let’s drag them into this. A bunch of money-hungry CEOs lent Wall Street seed money to subprimers whom these CEOs knew could not afford the loans, and now these dumb senators are calling for using taxpayer money to bail out these Wall Street firms and subprime lenders? My tax money is going to enrich CEOs who received millions in bonus during the boom years? I am pissed at Dodd and Clinton and you should be too. By “waiting in LA’s” logical extension, we should discriminate the hell out of the obvious age/sex/tax-bracket groups to which Dodd/Clinton belong!

    3) SENIOR CITIZENS – How dare you sell your homes during the boom in the past 5 years, making extra tens of millions and moving to other parts of the country with lower cost of living? Didn’t they teach you in school to not take advantage of helpless people who are throwing money at you? So what if you received multiple offers over the asking price within 1 day of listing your homes? We worked hard for our money, and you should have sold homes to us at 1970s costs and not pump up the comps for the rest of Irvine.

    4) ASIANS – It’s no secret a large proportion of Asians desire Irvine, and their influx has brought prices up with or without a housing boom. Well you shouldn’t have done that. Not only did you overpay for houses, helping Irvine home to double in prices and become unaffordable. You have also helped the city government get twice the tax money, thereby creating a deeper pocket to build better malls, schools, roads, nature trails, parks, pools, police force, you name it! Let’s face it, trailer trash like us WANT our homes to permanently be below $100K, we don’t like to see police cars, green parks, working traffic lights…you get the idea.

    5) TRAILER TRASH – Well, I won’t pick on my people. Let’s just say I’d like to see more trailer parks and burned cars and tin roof houses in Irvine. We think they’re…quaint!

    6) CHILDREN – Without children, we wouldn’t have to pay a premium for good schools in Irvine. There is no point in pretending that Irvine doesn’t receive a home price boost from you kids. Admit it, you made housing unaffordable for the rest of us!

    7) MIDDLE EASTERNERS – Just because idiots call you racial names and wouldn’t do business with you doesn’t mean you should foster relationships with others from the Middle East, work 7 days a week/364 days a year, and work your butts off to get where you are. Lazy mofos like us deserve lower home prices while we sit on our asses drinking ice tea at 4pm every weekday.

    8) THE THREE STOOGES – You know who you are.

  46. CarlsbadRenter

    You asked if anyone knew what a Warranty Grant Deed is. A warranty deed (sometimes called a “grant deed”) is the most common form of deed. It transfers ownership and also explicitly promises (warrants) that the grantor/seller holds good title to the property.

    You also asked about a revocable intervivos trust. It’s a living trust, which allows you to put your assets in a trust while you’re still alive. “Revocable” just means that you can revoke (or cancel) the trust at any time. Most people name themselves as trustees, and find there is no difference between managing the trust and managing their own property–they have the right to buy, sell, or give property as before, though the property is in the trust’s name rather than their own. Living trusts have become extremely popular.

    IMHO, the buyers and sellers in these transactions chose common and popular methods of carrying them out because they wanted to stay “under the radar.”

    Bubble Sitter, I agree that the sellers in these transactions should be identified. There might be a pattern there as well.

    Keep up the good work, everyone!

  47. SDMisfit

    Can Foreigners get mortgage loans? I mean could you create some fake papers that says someone is a wealthy Bangladeshi investor then use this “wealthy investor” as the straw buyer?

    Alternatively, is it possible to just create totally fake ID’s and have these paper creations serve as the straw buyer.

    Or could these straw buyers be real Bangladeshi immigrants who are having their credit and name being used for fraud as in the Murrietta scam that involved the Filipino nurses?

  48. IrvineMom

    All of these homes were bought through normal MLS listings; therefore, the straw buyers must first have the supports from both the listing agents and the selling agents to complete the transactions.

  49. Ananymous

    Almon. Great posting. It’s very obvious that these kind of fraud is committed by everyone at every age. I say, let capitalism do it’s part by eliminating all the weak ones. Let’s them pay the price for being dumb and deceitful. If this means getting evicted and forced to rent and live on a budget or even on food stamps. Let it be.

  50. CEOmulti

    There is another case of fraud in Northpark. 50 Burlingame is now in preforeclosure. It was purchased by Sabrina Mowery. The listing agent was Matthew Ingalls of Coldwell Banker. Escrow closed on 6/11/2006. Mr. Ingalls changed the price from $699,900 at the point the sale was made to $745,000 three days after escrow opened. There must have been some cash going back to the buyer who is now in default.

  51. NP resident

    If all this fraud is occurring within communities such as NP, who is paying their association dues? Are associations aware of the so called fraud? Will a community be forced to take legal action against the owner/purchaser?

  52. IrvineMom

    NP resident – Very good question. I have the same question too. I found on Grantor-Grantee search that The NP Association filed liens on some of these homes. I think they should file on all. I am not sure if these liens are in senior position since they are filed after the trust deeds. Since frauds normally involve straw-buyers, who may not even exist as real people. I will check with the Department of Real Estate to see if the association can sue the real estate and loan agents who knowingly arranged the fraudulent transactions.

  53. NP resident

    IrvineMom- I would be curious to know if the oc tax collector was paid back in December… and if a tax payment will be made by April 10th on the homes in question. After the lender, whose in line next to receive outstanding payments? This problem angers me. I believe in honesty and integrity. It’s too bad people choose to turn loopholes and greed into a so called “business deal”. We all end up paying one way or another to repair and fix the damage done.

  54. northparkhomeowner

    I don’t think it is quite fair to call Northpark. Fraud Park. It is a great place and many people wanted to pay a big premium to buy there. And I don’t think you should assume fraud on every case. For example, the property started the blog back in 10/2005, 39 Modesto, was not over priced. It was sold for $720K, but the same time, a same floor plan sold in 6 days full price at $759K, at 91 Talmadge. The buyer for 91 Talmadge paid 10% down and is not in default. The price dropped soon after 39 Modeso was sold, which is why I think it is an investment gone bad vs. fraud to start with.

    I am not saying renting $2850/mo for home bought at $720K is a good investment for the owner. But do you know how many people willing to cover the negative just to have a home in Irvine as investment. Back in 6/2006, it is so easy to get good rent in Irvine that it is a much safer investment than stock or R/E elsewhere, and the prices have not dropped in Irvine for about 20 years. Well, of course, history is not the guide to successful R/E investment. But if you have a low adjustable mortgage, bought with 0 down, and can rent it out for $2850/mo, you are about breaking even. Look how quickly 39 Modesto was rented. And that was very good rent even for that time.

    Prices for San Simeom plan 1 has been around $700K since summer 2005. When 91 Talmadge sold in 6 days at record price, 39 Modesto was the least expensive detached home in Northpark, (73 Arcata was listed for $729K, but it was configured as a 2 Br plus loft, which will not work for people wanting a 3 Br). I think Buyer Udidn just thought the price would go up more so he bought at that price. And when things did not turn out the way he expected, he bailed out by selling to First Capital.

    I heard there are companies that will take tile of property before foreclosure so the owner can claim save their credit. Will that work? And usually people have to pay to get title transfer to them. I don’t believe it would work, because the loan will still be under the prior the seller’s name. But I am not an expert.

    I just want to get the comps info. out to dispute the idea that the the price of $720K was inflated. During the peak (and 6/2006 was probably near the end of the peak), Northpark homes seldome stays on market. They come and they get sold ASAP. There are always people bet and lost, assuming every one intended first payment default may not be fair.

  55. IrvineMom

    northparkhomeowner – I am too a northparkhomeowner, I love to live in this community and do not like to be known as “Fraud Park”. Eventually the truth will come out and may be there are a lots of frauds going on in Northpark.

    I actually saw all the 3 homes when they were on the market. I did not like 39 Modesto because it needed so much works. Both other 2 were beautiful and both were listed and sold by our neighborhood realtor, Matthew Ingall.

  56. Bkshopr

    Matthew Ingall live in Cambria. I remembered Cambria was released at $600,000. Irvine Mom, Are you a home owner or renter? Most focus group will want to know your home ownership status before they contact you. I left Northpark and bought a place in Santa Ana that looks like a little Pasadena. I missed the convenience of retail shopping just around the corner.

  57. appraiser

    To all the naive posters/readers, it is fraud and the paper trail exists. See link above to what a group did in the Denver Metro area. It is just terrible what is going on and what is in the pipeline and headed for a train wreck. There are many people who have reported these crimes to our local DAs, FBI etc and they cant do anything because the crime is in process and no one is hurt(yet). Sort of a victimless crime on the surface, unfortunately we will all be paying in the long run. Would the appreciation been there without the subprime loans? Would the appreciation been there without the speculators?? We will have wait to see what happens in the future but it doesn’t look good for real estate which will have, not ripples, but waves throughout the economy. Good work you guys keep it up..

  58. nirvinerealtor


    The paper trail do exists and I agree with you it’s fraud. Do you have any idea what may happen to all the parties involved? Thank you for sharing.

  59. Ed The Mortgage Guy

    Folks for a straw buyer scheme to work there are usually only two people who know other than the person intending to live in the house. That’s the person being financed and the loan officer or mortgage broker.

    What is explained here if true is a classic example of mortgage fraud which is a federal felony. This is also a typical scheme from years back. Buyer A buys the home at short sale or below market. 6 months into the home they refinance to pull the equity out based on actual value. After they’ve made their first 3 payments they stop making payments, causing a NOD to be filed eventually leading to foreclosure and/or short sale.

    Buyer B (typically related to or involved with Buyer A) steps up and buys the home from Buyer A at the short sale price or at foreclosure sale, typically its from Buyer A who has negotiated a short sale in lieu of foreclosure with the lender. Lender agrees to short sale price Buyer B becomes proud new owner and starts the process all over again with Buyer C.

    This scheme was very popular back in the late 80’s early 90’s when the real estate market experienced a number of foreclosures. Unfortunately your average loan officer / mortgage broker doesn’t know what to look for. Also the tend to use different lenders with each transaction (on the same property) so as to not bring the spotlight upon themselves.

    Sad to say but it appears the loan officer or mortgage broker and listing Realtor are probably involved up to their neck sand received a tidy little sum for their creative work.

    NP resident: In the event of foreclosure the person in number 1 position usually the lien holder of the first mortgage gets paid before anyone else. Unless there’s a federal lien on the property. Any remaining money rolls down hill until there’s nothing left.

  60. NP resident

    Ed TMG- thanks. At one time I worked with collections and figured our association must stand in line to collect anything left. ( in most cases, nothing.) I own in NP and hope our association can keep up with all the sales transactions and collect what is rightfully due!
    We have many realtors living in NP. It is shameful if their participation in any illegal scheme for personal gain to profit at the expense of a community. It saddens me to think that this is the new “American Way” to earn a living. It’s ranking is right up there next to dealin’ drugs because we will all eventually have to pay for the destruction.
    When we decide to move, I hope my home does NOT wind up in this scheme.
    Is there any way to prevent this if you are not in foreclosure? Are the lenders/loan officers/ brokers only small companies vs. the top 3? ( Wells Fargo, BofA, WAMU)

  61. nirvinerealtor

    Ed The Mortgage Guy,

    The paper trail indicates that involved LISTING AGENTS do not fit your regular Joe Agent model. I can see a least 5 Listing Agents who are considered very accomplished, extremely sucessful from nationally recognized brokerage firms.

  62. northparkhomeowner

    I got a little lost about listing agent, paper trail, etc. Which one we are referring to? I am think it is not right to post agent’s name unless there is fraud and you tried to warn people, like Mathew Ingall was mentioned a few times and it sounds like advertisement for him. And I can’t understand why his listing went for $759K in 6 days is OK, while same model same time went for $720K is a fraud.

  63. graphrix

    Well the foreclosures have begun. I can confirm that 68 Arcata is now owned by the bank. I don’t want to offend any of the posters who own there but no one bid on the place at $620k and that is what the bank took it back for.

  64. nirvinerealtor


    I pulled title search on 68 Arcata, it has the following liens:
    1. $2K unpaid HOA Dues
    2. $5K unpaid Property Tax
    3. $48K unpaid mortgages

    The property is worth $675K in today market. Why would anyone in their right mind pay $620K+$52K =$672K in a foreclosure sale. In addition, I would not be surprise to see a HELOC on this house that is not showing up yet in title. Way too much risks.

    Thank you for providing this information. I hope you continue to give updates on the homes mentioned in this post.

  65. TC1068

    I just received this blog from a neighbor who informed me the house I was renting from group 3 is in foreclosure. I have all of the paperwork that has gone on for the past nine months and now am not sure where to go or what to believe. Does anyone know if the home is in PreForeclosure how long this straw owner has to bring it current before the bank takes over?

  66. nirvinerealtor

    It would take 3.5 months from the NOD date for the bank to take over. It’s unlikely that the straw buyer will bring to current. Your deposit will be wiped out. Contact your real estate agent immediately to verify that the home is in foreclosure. You must contact a real estate attorney asap. Or at least call your local Fair Housing services for advice.
    Good luck.

  67. northparkhomeowner

    I am so sorry to hear our neighbor TC1068 was put into that position. How can anyone do this to good paying tenants. However, you should check and make sure the home you are in are indeed in foreclosure. I don’t have a memebership to to check if they are in deed in trouble, but transfering title to someone else does not means the bank is taking over. Maybe it was wrong info. to start with.

    But whoever you send the rent to should know something. What did they say? I am really curious.

  68. sirvinerenter

    Glad I found this site. I have been renting from one of the named straw buyers-unknowingly and now the home has been foreclosed. Spoke with the bank who is giving me til the end of the month to move. Obviously they are claiming they arent liable for the security deposit. The realtor who found the property for me is claiming ignorance. Feel like the last man holding the straw. Its the banks and renters like myself who have been shafted by these con men/women.
    For those renting-make sure the property you are renting is also a house thats not on the market. Also, make sure you stop paying when you start getting notices of a trustee sale on your property. These guys are pocketing the cash and obviously not paying the bank. To think they’ve already made money with the straw buyers-and then continue to suck more money out of decent renters- its a real crime.

  69. happyladerian

    some realtors have really being playing with their listing. I saw the history of 2 Gilly Flower and there were 121 changes to that property, with commission changing from 2% to 5% (and several inbetween) price for rent from $1750 to $8000, and price up and down $200K many times. I think the realtor owns this property, and if I remember that correctly, the for sale sign was up months after the home was built. And I think the sqft, model #, etc. have been changed more than once in this listing. The only thing did not change, is the listing agent.

    I felt bad for the sirvinerenter since he/she really did not nothing to deserve this. But I have to admit it is hard for the realtor to find fraud before that happens also. But at least the realtor should step in and help her with her fight.

    I am a realtor although I do work actively outside my own friends and family. I felt bad what TC1068 and sirvinerenter has to go through. The son of my friend was evicted under the same circumstance 10 years ago during the last R/E recession. He was locked out, because the landlord has removed all notices while he was at work, and did not even know it was coming.

    I hope this won’t get worse, although it may. I heard lender are tightening on these loose standards, and hopefully, things like these will stop.

  70. nirvinerealtor

    I am sorry this is happening to you. I noticed the fraudulent landlords from homes listed in from this post. Would you considered contact the OC Register so they can warn the public (agents and potential tenants). It is possible that your agent is ignorant. Thank you for your thoughtfullness. Also would you share your address?

  71. IrvineRenter


    “continue to suck more money out of decent renters- its a real crime.”

    That certainly is a crime, it is called rent skimming. You should register a complaint at the police department and/or the FBI. You may even have a civil case against the perpetrators, but it may be very difficult to collect.

  72. nirvinerealtor

    IrvineRenter is correct. The perpetrator is hard to find and to collect. However, the perpetrator’s listing agent (broker) can be held accountable for damages if fraudulent representation is warrant, seems likely this this case. Check the web to locate the broker. Local Fair Housing do provide free legal help for renters. Consumers do have protection from the state.

  73. tc1068

    Well I feel much better that at least I am not the only one who got taken.
    But I have NO intention of letting this group off the hook.
    This landlord who really has zero legal rights based on my reading of the contract, is still calling me for rent.
    I stopped payment on my check and informed him that I had no intention of paying any additional rent until some legal action is taken.
    This whole First Capital group is all connected.
    I too have the name and address of the real estate agent who had the property listed a year ago.

    So, does anyone know how I get ahold of the bank to find out how much time I have?
    I also confirmed that we as tenants are able to take the supposed owners to small claims court.

    Reading up on the eviction laws now because I’m sure that’s what is coming. Although I would be TOTALLY suprised with the amount of paperwork I have compiled, if he actually showed up in Superior Court.

    This seems to be a pretty good scam they pulled in the Educated little city of Irvine.

  74. IrvineRenter


    I would open up a separate savings or escrow account and make your rent payments to this account until there is a final settlement. The bank may actually try to go to you to get the rents the landlord was skimming even though they have no legal standing to do so.

    Next time the landlord calls tell him you are reporting him for rent skimming and you want your money back. In the end you may be able to stay in your place rent free for a while. I don’t think the bank can evict until they take possession in foreclosure.

  75. angryowner

    I want to make something very clear, and I reserve all my right to legal action as well. I’ve been reading the blog and were very disturbed to find people calling sellers part of the scam. I did not say anything because people who made the claims did not know the details, they just assumed. But the last comments caught my attention. These homes were not even closed a year ago, so making the listing agent responsible for this tenant is assuming the seller is in this with the buyer. I was the seller to one of the group 3 buyer, and I will not put up with these accusation.

    1. We did not know the buyer, nor the buyer’s agent before they presented the offer.
    2. there is no gift outside of escrow of any kind.
    3. the buyer has the right to 100% financing and the seller did not pay more than what was considered normal seller’ paid closing cost. The lender is fully aware of all seller’ paid cost, and they were OK with it.
    4. The lease listing agent is the buyer’s agent in those cases. You can find them. But don’t point your finger to just anyone.

    We do not know any other seller from any of those groups. And we are 100% sure we did nothing wrong. We have made it very clear to you guys on these issues, if anyone wants to bring lawsuit to people who had nothing to do with these, then you should bear the consequence too.

  76. TC1068

    I truly don’t know what you are spekaing about.
    At least in my situation it is very clear there is some sort of fraud going on between the original owner and the straw owner. My contract lists both of those individuals names. So, if your comment was directed at me I am sorry if I offended you but I have put up with this stress for too long. There is fraud going on here it is just a matter of putting all the pieces together. I do not believe the agent who listed my property originally knew what was going on because once the straw purchase occured she tried to warn us. However, I do think she can provide some insight into what is really going on and how these groups are linked.

  77. sirvinerenter


    If your situation is anything like mine and the house goes to the trustee sale, it may end up back at the bank as a REO. The bank will then assign a realtor to put it back in the market. We had one show up today. The bank wants you to leave obviously as soon as possible, even willing to put upa small amount for your trouble. Provided that is you dont fight the eviction and leave in 30 days. My attorney has suggested I leave within the agreed amount as fighting it court can land you with a permanent court record that can affect your ability to rent anywhere-you have to lose of course. Even small claims may not guarantee you getting anything back. Contacted DA’s office and the media today. At this point its really a matter of principle….

  78. angryowner

    My comments is to TC1068. Although you may not have rented the one home we sold to the Straw buyer, your statement of ” there is some sort of fraud going on between the original owner and the straw owner” is false accusation after I stated clearily to you and other readers that at least in my case,

    1. We did not know the buyer, nor the buyer’s agent before they presented the offer.
    2. there is no gift outside of escrow of any kind.
    3. the buyer has the right to 100% financing and the seller did not pay more than what was considered normal seller’ paid closing cost. The lender is fully aware of all seller’ paid cost, and they were OK with it.

    There is law and there is justice. We do not like being called a liar and thief when we did nothing wrong. We will not put up libel.

  79. nirvinerealtor

    I am sorry for you too, sounds like you are a victim yourself. Sellers would not know if some act is illegal unless their real estate agents advise them so; that is the main reason why you hire real estate agent to protect you.
    Regardless, if an unintentional illegal act was carried out by the seller, the seller may be implicated and you just have to defend yourself. Best of luck to you.

    I can feel your stress already. I do not know which property is yours. Maybe you can go on the forum and whisper to me. I can estimate when the title would go back to the bank (most likely because there is no equity so no bid).
    In the mean time, you do not want eviction on your record. This landlord will threaten an eviction lawsuit to get money from you.
    Your choices are: vacate the property. Your deposit got wiped out in foreclosure already. Do not pay anymore if you decide to vacate. If an eviction lawsuit started already, you have about 4-6 weeks to vacate before the hearing.
    Choice 2: contact an attorney. This will cost you thousands to get your deposit back. I do not know how easy it is to collect. If the landlord has establishment? I still think the lease listing broker is liable if there is misrepresentation.

  80. IrvineRenter


    And since your not getting your deposit back, I would throw the wildest party you can the day after you move your possessions out 🙂

    … not really, but it is fun to think about…

  81. angryowner

    This one is to nirvinerealtor. Are you telling me that you advise your client not to accept 100% financing offer in today’s market, to protect them? If so, please give out your name and number, and I will be interested to see how many homeowners will be running for your protection.

    And, are you telling me that if a seller sold to a buyer through MLS, did nothing illegal or even improper, got market price and the straw buyer default a few months later, the seller would be responsible. Well, I did go to one year law school, but this really news to me. I would love to know where did you take your R/E lessons.

    I spoke to a friend who is an escrow officer today and asked her off the record the rough % of sellers are credit buyers closing cost these days. And she said “almost every one for the last 6 months” And I asked her what is considered acceptable seller paid closing by lender. She said, she has seen as high as 6%, although 3% is more like it for most lenders.

    I am not an expert in law nor R/E. But if you read the statement I made, which I stand behind 100%, that neither myself, nor my listing agent, knew the buyer nor the buyer’s agent before accepting their offer. And actually, we even told them not to fax an offer when it was too low. And we did not give them anything outside escrow. (and they did not ask for it) Any licensed realtor should know that there is nothing illegal about the transaction, wether intentional or unintentional. Saying what you are saying about this situation, I think is a reportable offense to the R/E board.

    I dont’ want to waste any more time debating these accusation. Unless someone really press the case.

  82. nirvinerealtor

    I am sorry you totally missed my point. I reviewed the sale history for all the homes in Group 3, but I am not going to go there.

  83. tc1068

    Angry Owner,

    Your defensive tone leads me to believe that you are very worried that there is some truth to my statements.

    And just to be clear, I said in my case that it is clear that there IS fraud involved. I have NO way of knowing the details of the other 29 houses involved.

    Don’t you find it curious though that all these homes can be traced to two entities?

    And as far as you throwing out Libel and other legal words that you have NO idea what they actually mean, this is a blog! Consumers have signed contracts that “seem” to be fraudulent.

    If you have nothing to do with it, then you have nothing to worry about. The rest of us, who do actually have to deal with this do need to be concerned.

  84. tc1068


    Let me know how to get ahold of you and maybe you can help give me some idea how much time I have.

    Thanks for your help.

  85. nirvinerealtor

    New Century Financials in Irvine is the bank for your rental. No wonder it’s going through bankruptcy.

  86. nirvinerealtor

    New Century Finacial just filed chapter 11 on Monday and it is all over the news They still can service the loan though, so nothing changes.

  87. nirvinerealtor

    I just realized my reply to your e-mail could not deliver. Anyway, your house was in pre-foreclosure since Feb 2nd, 2007. Anytime after 111 days from Feb 2nd, 2007, the bank can put on auction. You will be notified by the bank after 111 days. Shorty after, there will be new owner, I am guessing the bank will be the new owner. Either way you will get eviction. The bank will make a deal with you so you will return the house. If you have children, the bank or the new owner would give you more like 60 days to move. If you do not want to hassle, you could recoup your deposit and leave. Your lease contract was voided since Feb 2nd 2007 because I doubt the straw buyer will pay off the delinquencies. Good luck to you. I feel very bad for you. You probably have until May 15th when you will be contacted by the new owner. The new owner may want to continue to lease the house to you though.

  88. TC1068

    You have been so great.
    I cannot thank you enough.
    At least now I have some information and an idea how to prepare for this.
    In the meantime this straw owner is trying his best to scare me into giving him more rent money.

  89. nirvinerealtor

    He will give up quickly here because he is running out of time. Make sure you do not give him your SS# so he can not report you to the credit agency. Your landlord (this new owner) is a Real Estate Broker and a Mortgage Broker (no wonder the public dislike agents). Tell him you will report him to the DRE. He will make wrong move like call you for payments on the weekends, report him to Fair Housing. Go to: to locate him.
    I feel so bad for so many of you in this situation.

  90. TC1068


    Oh my GOD he just came to my door.
    Gave me the demand to pay and asked for the money.
    I explained to him that I was not going to give them any further money.
    So he said we will just go through the process.
    I have children and he comes to my door?
    Once he gives me the notice what am I suppose to do?
    Doesn’t he have to get an order from the court and then I respond?

  91. nirvinerealtor

    Did you get a 3 day pay or quit? If you did and you do not pay him within 3 days, he will file an unlawful detainer (eviction through court) to get you to leave the premises. Hearing date is usually 4-6 weeks. If you decide to go this route, you need to put money in an account (open a bank account). The court will order you to pay the bank. Rent skimming is illegal, and that what he is doing.
    You really need to contact an attorney, problem is it will cost you thousands upfront.
    Are you sure you do not want to just leave to get away from the hassles?

  92. TC1068

    Happy Easter,

    Yes, I do want to just leave but I can’t be out in three days. And if I pay him I will never see the 3500.00 deposit I gave. If he decides to go to court that’s fine, I am comfortable with that. I do plan on contacting the fair housing department, the DRE, ect tomorrow to see if they know anything about this? Also, my rental agreement is not with this guy, it’s actually with Manik Chowdury of group three. SO, from my understnading of the law, this guy cannot even serve me with a three day notice since I have no agreement with him. Yes, Manik thransfered his interest in the property to this guy but I never signed a new rental agreement with him.

    Has anyone else had any dealings with this First Capital with a rental agreement?

  93. nirvinerealtor


    Happy Easter to you too.

    Now that you say you are comfortable to go to court, then you will be fine. Just tell the judge what happenned.
    Actually, he can serve 3-day notice because he is the new owner of record.

    The new owner owes you deposit money. You can take him to small claim court to recoup your money. He is a very public figure so you get it back. I think he will try to get you to sign a waiver to forgo your deposit.

    He did not get a tenant estopel, he showed up at your door on a non-business hour!

    He can file a lawsuit on you because he is the owner of the house. You will get a court hearing date in a few weeks; court date will be around May 15th. Guess what, May 15th the house will be owned by the bank, or somebody buying short sale. Like I said, when the new owner shows up, they can start a 3-day notice; this time you will have to leave.

    I admire your strength. Best of luck.

  94. nirvinerealtor

    I forget to mention. You do not have to leave in 3 days. Only the judge can order you to leave, and this takes up to 6 weeks.

  95. nirvinerealtor

    I am pleased to see a victim-tenant blogging. Afterall, there are 27 homes+ in this situation. You are helping others to learn what you are going through. Thank you.

  96. TC1068


    The guy who came to my door is a very public figure?????
    Because when I told him I had been approached by the FBI about rent skimming he said he was not concerned. I just figured out that I actually have paperwork from Marina Yasmin as well. I am not sure if you know which guy I’m dealing with.

  97. sirvinerenter


    what is your email? i think you and I are dealing with the same character. I too had a lease signed by manik chowdhury. The bank has alread foreclosed on my rental. We should join forces here. Cant believe he showed up at your door…

  98. sirvinerenter

    If you are speaking about the same person who’s principal address is in Torrance, Yes I believe so.

  99. nirvinerealtor

    Yes indeed. I do not want to name names here because he is a REAL ESTATE BROKER/OFFICER, same line of work I do.

  100. TC1068

    Ok but then how in the world are they getting away with this?
    And won’t this all catch up to this individual?
    I don’t know a lot about real estate but I do know a lot about the Department of Justice and I’m assuming the DRE is as credible as they are? So, I guess my question is how is this whole scam going down and no consequences?

    sirvinerenter, you dealt with the same person I’m assuming? Did you just keep paying until the bank contacted you?

  101. nirvinerealtor

    You mentioned that FBI contacted you for rent skimming investigation (= defrauding banks). That means this guy is under the FBI radar. This guy does not owe the bank any money, he only has interest in the property. The straw buyer, Chowdhury, has no interest in the property; however, has liability to the bank.
    Now, your security deposit, by law, you can go after either Chowdhury or this guy (new owner) for refund. As I mentioned he is a REAL ESTATE BROKER, his information is public.

  102. sirvinerenter


    Yes-stupid me, shouldnt have been so trusting. The bank is giving me two weeks to move and they are offering some cash to move before months end. Still feel duped and agree that something legally must be done. Seems pretty clear that there are multiple cases of rent-skimming happening here.
    I actually spoke with an attorney about this and since there were no technical damages to me then(until of course after the trustee sale) I was in a situation where I was damned if I dont pay the rent and damned if I did. She definitely wanted me to avoid ever getting an unlawful detainer on your record though. It is permanent and may haunt you anytime you want to rent anywhere else. I will pursue this legally and like I said earlier, we should probably join forces to find all the other potential victims before its too late.
    I went to the trustee sale at the appointed time,date, and place just out of curiosity. No one bid on the property- I wasnt surprised as the bid was for 610K. No doubt that doesnt include back taxes, HOA fees, who knows what else. There are a few other same size properties in the block on the market listing for 650-675K. Oh and by the way, I’ve been calling the guy to discuss my security depo but no call backs…
    Nirvinerealtor, can you check any rentals in the westpark area that are not owned by straw buyers? Will need to move in a few weeks….

  103. TC1068


    Sounds like we are in the same boat with the same scamming bas*****! Was your original rental contract with Manik Chowdury? Maybe we could talk outside of this blog. And yes, I too have been looking at some rentals and actually think prices have come down. Good old economy. Did you sign a new contract with First Capitol or “him” once the % was transfered to him/First Capitol? I have some ideas about getting our deposits back if your interested.

  104. nirvinerealtor

    Hint for both:
    1. Very easy to get your deposit back. The best way to get your deposit back is to threaten to bring in the press. Once the press involve, they can review the paper trail and it will show that there are large established corporations in Orange County and Los Angeles County behind this operation (it’s huge!). Too much at stake so they will pay you. You can request for return of deposit from the very latest owner ( “him”).
    2. This way “may” work too: Go to small claim court. Wait for a least 3 weeks. If landlord does not return deposit within 3 weeks, then he has to pay double plus fines.
    3. TC1068, if this guy file an unlawful detainer, then you may have to check “yes” on your next application where it asks “If party has been a party to unlawful detainer….”. This may scares off landlord.
    4. sirvinerenter, unfortunately, rent skimmers are everywhere (when people are desparate for money, they will rent you homes that do not belong to them), they are both in the form of individual (Craiglists) and through MLS. It’s best that you find a real estate agent through referal to help you. Explain to this new agent that you do not want to land in the hand of a rent skinner landlord again. Ask he/she to prove it.
    5. The best way to notify other victims is to get the press in to do a feature article on rent skimming.
    Best of luck to all.

  105. tc1068

    Well, I happen to have a friend at the Orange County register.
    I see Manik’s liability but where is “he” liable? Also, I don’t believe the rental agreement automatically “continues” to the new owner. I believe the new owner must do a few things first and also have new rental agreements signed. Didn’t happen in either case. Will keep you all posted. Let me know about the liability issue? Rent skimming? The agent also maybe liable under fruad.

  106. nirvinerealtor

    Manik is a strawbuyer, who is liable for the mortgage, and his credit is shot now with several forclosures under his name. The new owner, who is not paying mortgages and is collecting rents, which should go to the bank, is rent skimming. Rent skimming is illegal. It does not matter, the new owner owes you your rental deposits. I am sure sirvinerenter explained to you already.

  107. tc1068


    Did you get my email?
    If you responded I didn’t get it.
    I have done some additional research.

    I’m wondering if these guys will just up and leave the area before this all goes up in smoke.

  108. nirvinerealtor

    My e-mail to you was undeliverable, I think your company Admin blocked it. You may want to set up a gmail account.

    I believe some of these guys have assets here to just leave.

  109. sirvinerenter


    Sent a response awhile ago to your company address. May have been blocked? Anyway, I have some developments also. Would love to get all the info you were able to find.
    By the way, check this out:

    Does the address for first capital coincide here? hmmm.

  110. tc1068


    I had to get a new phone and your number is in my old broken one.
    I have a new number too.
    How did we exchange numbers before?

    Or if I gave you my work number you can call me here now.

  111. tc1068


    I was served with unlawful detainer papers.
    I am working on the response right now.
    Any advice or suggestions on how to proceed?

  112. nirvinerealtor


    Now that you got served, you have 3 choices:

    1. Contact Fair Housing or a Real Estate Attorney immediately and explain the house is in foreclosure.

    After you contact authority, you can:

    1.5 Move before the court date and forget about the whole thing. He does not have your SS#.

    2. Pay him, then the bank will contact you next month and ask you to leave.

    3. Contact the lawyer in the paper and negotiate

    4. Show up to court and explain to the judge what happened. Make sure you set up a rent trust account. If you do not show up, you will lose the case and a sheriff will come out a few days after the court date and lock you out.

    I feel really bad for you.

  113. tc1068

    I have to respond within the five days, which I’m doing now.

    Then I want to have it set for court within the 20 days.

    If my rental agreement is NOT with him how can he evict me from a property that he has no contract with me?

    I have letters from me after the transfer was made informing him I wanted to know where my deposit money was and that I wanted to sign a new rental agreement. He never sent me one.

    Just because he was transferred the deed does not mean my agreement with Manik automatically transers to him.

    I really hope the court will do something about this crap.

  114. tc1068


    If you are not able to show up in court the day we go would you be willing to give me a written statement explaining that the exact same thing happened to you?

    I would pay to have it notarized if that’s ok.
    I have been in touch with some authorities and hope that this first court appearance will be the start to get the ball rolling.

  115. nirvinerealtor


    Did you contact Fair Housing to get legal advice?

    He is the new owner; therefore, he is your new landlord and can evict you.

    Since there is no paperwork to transfer your deposit, this new landlord owes you your deposit.

    When the house goes back to bank. Bank will be your landlord and can evict you. But, the bank does not have to give your deposit back.

    When you go to court, I think court will have you make payments to the bank (assignment of rent). I am thinking you can stay longer.

  116. sirvinerenter


    Sorry for the late reply as you know I have til the end of the month to back my bags and leave this property. I’d be more than happy to assist.
    Found another place, thank God, not so far away. The bank is giving me some monies to leave before months end but obviously im out the 4K deposit. He has yet to return my calls. Legally, he is liable for the security deposit. I had been sending my checks payable to him and not first capital, but I suppose it doesnt matter. Legally, he is liable for the security deposit. Never signed another contract as I have a written email with him exclaiming he is the new landlord due to the grant deed. I’d also be grateful if we can both put our names on the affidavit that the OC DA’s office sent me to complete-along if any other renters who were caught in this scheme.

  117. graphrix

    Wow what a mess this group has become. sirvinerenter and TC1068 I feel very sorry for you both to have to go through all of this. I wish you the best of luck in getting any money back you can from these thieves. I am glad you found this blog and thankful for people like nirvinerealtor who posted very helpful comments. I have to say I am curious as to what the outcome of any legal action is on these criminals.

  118. tc1068


    Yes sirirvinerenter, I totally understand. I’m sorry that you and your family are in the same situation I am. I am answering his complaint today and a good friend of mine has agreed to help us out. I actually never signed the rental agreement, although I probably ratified the agreement by paying the rent. I would be more than happy to sign the agreement from the OC DA’s office. I will hear from my attorney this week as to when we have a court date. At that time I would love to have you explain your situation either in a letter form or in person so that we can 1) protect myself from eviction 2) start procedings for rent skimming 3) File in small claims or in civil court for the deposits, ect. I cannot believe this crap is happening. I filed complaints against all of them with the DRE on Friday, including ReMAx and my “agent”. This was set up from the very beginning. Let me know when you’d like me to sign and I’ll let you know if I hear from my attorney.

  119. sirvinerenter


    Thats great- Let me know when you hear from your attorney. I’ve been somewhat distracted with my move and all. Trust you still have my number. I move this weekend- some good news- found a place a minute away, bigger place, cheaper rent and closer to my son’s school.
    By the way, Did you find your place through ReMax? I did too. They were absolutely no help.

  120. tc1068


    Yes, I did get my place through ReMax.
    I think I still have your number but if you could give me a call that would be great.
    I did hear from my attorney.
    Hope your move goes well.
    Maybe I can come pick up all your boxes….hahah
    I’m trying to stay calm.

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