Friday, October 7, 2011

What happened in the Veldora Arthur federal mortgage fraud case in her own words. And guess who's suing J.P. Morgan Chase for FRAUD?!

We're fortunate enough to get a rare glimpse into what exactly happened in the City of Miami Assistant Fire Chief Veldora Arthur's federal mortgage fraud case, that is what happened according to Veldora herself as she explained it to the FBI.  Here's a transcript of what she told the FBI and the AUSA during her interview on August 5, 2010...

FBI Interview of Veldora Arthur

We'll go through it in detail on Monday, but till then, has anyone guessed who's suing J.P. Morgan Chase for fraud?  I'll give you a hint...

You got it, just days after she was thrown in Federal Prison for all sorts of fraud, lawyers on behalf of Veldora ACTUALLY SUED J.P. Morgan Chase for fraud on her behalf!

LOL!  We're digging up the complaint now, we'll discuss on Monday.  Have a nice weekend!


  1. It's a class re foreclosures.
    If you dig in google I think you will find it.
    Btw what is up with Arthur's google hits?
    It almost looks like newer items are all hidden in behind old news?

  2. Wow. So did they even charge the appraiser? Arthur makes a convincing case of having been duped. Except that she got a check for 160k for the first purchase, which she had to know was not right.

  3. John, I agree that the appraisers in almost all the cases we've discussed should have been charged but what about the appraisers who worked for the banks that reviewed the appraisals before closing? Aren't they just as complicit?

    Besides Veldora walking away with a hefty check after the closing what really did her in was the fact that she turned around and refinanced one of the properties shortly after she purchased it. You have to wonder what the hell this woman was thinking.

  4. The bank would not review most appraisals. They would have a blacklist of appraisers who previously burnt them and would do secondary appraisals on a small portion of loans. They might also have used AVMs but the organizer here was buying lots of properties in the same building which might have outsmarted a simple AVM based fraud detection system.

  5. Good point. How many years do you think she'll get?

  6. She and her defense really blew it not making a deal when there was an open and shut case against her. 3 years?

  7. Is Veldora Arthur still getting paid $25,000 per month by the taxpayers of the City of Miami?

    Still "suspended with pay"?