Charlotte man gets prison in mortgage fraud conspiracy

A 33-year-old Charlotte man was sentenced to eight months in prison on a mortgage fraud charge.

Sam Ames pleaded guilty on March 15 to conspiring with others to commit bank fraud, according to a statement from U.S. Attorney Patrick Miles.

Ames’s charge was connected to Lansing-area real estate transactions between 2006 and 2007. 

People involved in the conspiracy profited off bank funds obtained through sham real estate transactions, Miles said. Mortgage lenders lost more than $550,000 in the scheme.  

Chief U.S. District Judge Robert J. Jonker ordered Ames to pay a $7,500 fine and $285,000 in restitution.

Jonker sentenced Ames to a prison term below the recommended range of 30-37 months but denied a request from defense for a probationary sentence.

“While the Judge declared himself persuaded that Ames was a different person than the one who defrauded banks and mortgage companies, the Judge stated that it was important for the public to see that a prison term awaits anyone who engages in mortgage fraud as rampant as the Ames conspiracy was,” according to Miles’ statement.

Ames's lawyer, Mary Chartier, said Ames started out in the mortgage business as a teenager and was in his early 20s during the time frame when the mortgage fraud took place. She said he regrets his actions and is "an outstanding citizen."

"Who Mr. Ames is now is entirely different," Chartier said. 

Chartier said Ames's involvement in the scheme was limited to two homes whose repairs were exaggerated to bank lenders. She said several other people were involved in the scheme, all of whom were sentenced several years ago. 

The investigation into the incident was led by the Mortgage Fraud Task Force, which is made up of investigators from agencies that include the FBI, U.S. Secret Service, HUD Office of Inspector General, U.S. Postal Inspection Service, the Lansing Police Department and the Michigan Attorney General’s office.

The task force has convicted 18 people of mortgage fraud. The convictions have resulted in prison terms and restitution orders of more than $14 million.

Contact Beth LeBlanc at (517) 377-1167, eleblanc@gannett.com, or on Twitter @LSJBethLeBlanc.