april 2009 term at alexandria, virginia 1. the defendant ... mortgage, llc (hereinafter referred to...

IN THE UNITED STATES DISTRICT COURT FOR

EASTERN DISTRICT OF VIRGINIA

Alexandria Division

UNITED STATES OF AMERICA

V.

NELSON C. CARDOZA,

(Counts 1-5)

ERICK G. CHAVARRIA,

aka "Erick Gilberto

Chavarria Mej ia,"

(Counts 1-3)

MONICA J. LAMBERT,

(Counts 1-5)

LIGIA ABAUNZA MIRANDA

(Counts 1-3, 5)

and

VICTOR A. VALDEZ,

(Counts 1-5)

Defendants.

) Criminal No. l:09CR189

) ) Count 1: 18 U.S.C. § 1349

) (conspiracy)

) ) Counts 2-5: 18 U.S.C. § 1343

) (wire fraud)

) ) Forfeiture Notice

INDICTMENT

April 2009 Term at Alexandria, Virginia

THE GRAND JURY CHARGES THAT:

At all times material to this indictment:

Introductory Allegations

1. The defendant, VICTOR A. VALDEZ, was an employee of

CapFirst Mortgage, LLC (hereinafter referred to as CapFirst).

CapFirst was a mortgage brokerage company located in Fairfax,

Virginia, within the Eastern District of Virginia. VALDEZ also

brokered mortgages through a company known as Family Mortgage

Solutions.

2. The defendant, MONICA J. LAMBERT, was a real estate

agent with Fairfax Realty. LAMBERT was also a signatory on a

bank account for J&M Improvement and is the sister-in-law of

VICTOR A. VALDEZ.

3. The defendant, NELSON C. CARDOZA, was a "middle man"

who recruited buyers to purchase residential real estate in

transactions in which the defendant, MONICA J. LAMBERT, was the

real estate agent and the defendant, VICTOR A. VALDEZ, was the

mortgage broker.

4. The defendant, ERICK G. CHAVARRIA, was an employee of

CapFirst.

5. The defendant, LIGIA ABAUNZA MIRANDA, was the owner and

operator of Jireh Universal Tax Services and is the mother of

MONICA J. LAMBERT and the mother of the wife of VICTOR A. VALDEZ.

6. The above introductory allegations are re-alleged and

incorporated in each count of this indictment as if fully set

forth in each count.

COUNT 1

(Conspiracy to Commit Wire Fraud)

THE GRAND JURY FURTHER CHARGES THAT:

The Conspiracy and Its Objects

1. From in or about December 2006 through in or about

February 2007, within the Eastern District of Virginia, the

defendants, NELSON C. CARDOZA, ERICK G. CHAVARRIA, also known as

"Erick Gilberto Chavarria Mejia," MONICA J. LAMBERT, LIGIA

ABAUNZA MIRANDA, and VICTOR A. VALDEZ, did knowingly and

unlawfully conspire, combine, confederate and agree with each

other and others known and unknown to commit wire fraud, to wit:

to knowingly devise and intend to devise any scheme and artifice

to defraud, and to obtain money and property by means of

materially false and fraudulent pretenses, representations, and

promises, and for the purpose of executing such scheme and

artifice, to transmit and cause to be transmitted by means of

wire communications in interstate commerce, any writings, signs,

signals, pictures, in violation of Title 18, United States Code,

Section 1343.

Ways. Manner and Means of the Conspiracy

2. The primary purposes of the conspiracy were to defraud

mortgage lenders into lending funds for the purchase of

residential properties and to obtain fraudulently a portion of

those funds.

3. It was part of the conspiracy that conspirators used

the identities of other individuals (the "purchasers") to apply

for mortgages and to purchase residential properties within the

Eastern District of Virginia. The purchasers did not authorize

and did not know that houses were being purchased in their names.

Unidentified individuals acted as the purchasers during the

transactions.

4. It was a further part of the conspiracy that the

defendant, MONICA J. LAMBERT, negotiated and prepared sales

contracts for the purchase of residential properties in the names

of the purchasers.


conspirators, including the defendant, VICTOR A. VALDEZ, prepared

and caused to be prepared false and fraudulent mortgage

applications in the names of the purchasers that falsified the

income and assets of the purchasers.

6. It was a further part of the conspiracy that

conspirators, including the defendants, VICTOR A. VALDEZ and

ERICK G. CHAVARRIA, added and caused to be added the names of the

purchasers to bank accounts held by conspirators so that the

purchasers would appear to have funds they did not in fact have

and thereby be more likely to qualify for mortgages.


conspirators, including the defendant, LIGIA ABUANZA MIRANDA,

created and caused to be created false tax preparer letters which

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purported to substantiate false employment of the purchasers, as

listed in the mortgage applications.


conspirators submitted and caused to be submitted the false and

fraudulent mortgage applications to mortgage lenders.

9. It was a further part of the conspiracy that portions

of the proceeds of the mortgages that were obtained were

disbursed to the conspirators through: (a) home improvement

expenses paid to the defendant, NELSON C. CARDOZA, and entities

controlled or affiliated with the defendants, NELSON C. CARDOZA

and MONICA J. LAMBERT, including, but not limited to, J&M

Improvement, Bayron Home Improvements, and Twins Construction;

(b) real estate commissions paid to the defendant, MONICA J.

LAMBERT, via Fairfax Realty; and (c) fees paid to the defendant,

VICTOR A. VALDEZ, via CapFirst Mortgage.

overt Acts in Furtherance of the Conspiracy

10. In furtherance of the conspiracy, the following overt

acts, among others, were committed in the Eastern District of

Virginia and elsewhere:

Purchase of 304 Ebaugh Drive, Leeaburg, Virginia, in name of

purchaser nJ.L."

a. On or about December 19, 2006, the defendants,

VICTOR A. VALDEZ and NELSON C. CARDOZA, prepared and caused to be

prepared a false and fraudulent mortgage application in the name

of J.L. for funds to purchase 304 Ebaugh Drive.

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b. On or about December 21, 2006, the defendant,

LIGIA ABAUNZA MIRANDA, prepared a false and fraudulent letter

purporting to substantiate the employment of J.L. as claimed in

the false mortgage application and falsely stated that she had

prepared his 2003, 2004, and 2005 income tax returns.

c. On or about December 26, 2006, the defendants,

ERICK G. CHAVARRIA and VICTOR A. VALDEZ, caused the name J.L. to

be added as an account holder to a bank account controlled by

CHAVARRIA.

d. On or about January 3, 2007, the defendant, MONICA

J. LAMBERT, prepared and caused to be prepared a sales contract

addendum for the purchase of 304 Ebaugh Drive by J.L.

e. On or about January 10, 2007, the defendants,



of J.L. for funds to purchase 3 04 Ebaugh Drive.

f. On or about January 10, 2007, the defendants

caused IndyMac Bank, F.S.B. to wire $357,018.10 in mortgage

proceeds from a bank account located in California to a bank

account in Fairfax, Virginia, of a real estate settlement

company, for the purchase of 304 Ebaugh Drive by J.L.

g. On or about January 10, 2007, the defendants

caused the real estate settlement company to disburse funds from

the purchase of 304 Ebaugh Drive to the following: $30,000.00 to

J&M Improvement; $11,350.00 and $350.00 to Fairfax Realty; and

$11,330.00 to CapFirst.

h. On or about January 16, 2007, the defendant,

MONICA J. LAMBERT, wrote a check payable the defendant, ERICK G.

CHAVARRIA, for $2,800.00.

i. On or about January 17, 2007, the defendant,

MONICA J. LAMBERT, deposited and caused to be deposited the

$30,000.00 check to an account she controlled in the name of J&M

Improvement.

Purchase of 358 Fox Ridge Drive, Leesburg, Virginia, in the name

of purchaser wi7.L."

j. On or about December 19, 2006, the defendant,

MONICA J. LAMBERT, prepared and caused to be prepared a sales

contract addendum for the purchase of 358 Fox Ridge Drive by J.L.

k. On or about January 10, 2007, the defendants,



of J.L. for funds to purchase 358 Fox Ridge Drive.

1. On or about January 10, 2007, the defendants

caused First Franklin Financial Corp. to wire $369,012.51 in

mortgage proceeds from a bank account located in California to

the bank account, of a real estate settlement company, located in

Fairfax, Virginia, for the purchase of 358 Fox Ridge Drive by

J.L.

m. On or about January 10, 2007, the defendants


the purchase of 358 Fox Ridge Drive to the following: $43,500.00

to the defendant, NELSON C. CARDOZA; $12,800.00 and $2,000.00 to

Fairfax Realty; and $11,690.00 to CapFirst.

n. On or about February 4, 2007, the defendant,

NELSON C. CARDOZA, deposited to his bank account a check payable

to J.L. from the renter of 358 Fox Ridge Dr.

Purchase of 301 W. Charlotte Street, Sterling, Virginia, in the

name of purchaser nJ. L."

o. On or about December 13, 2006, the defendant,

MONICA J. LAMBERT, prepared and caused to be prepared a proposed

contract for the purchase of 3 01 W. Charlotte Street by J.L.

p. On or about February 7, 2007, the defendants,



of J.L. for funds to purchase 3 01 W. Charlotte Street.

q. On or about February 7, 2007, the defendants

caused Resource Bank to wire $371,004.91 in mortgage proceeds to

a bank account in Fairfax, Virginia, of a real estate settlement

company, for the purchase of 301 W. Charlotte Street by J.L.

r. On or about February 12, 2007, the defendants


the purchase of 301 W. Charlotte Street to the following:

$41,677.67 to an account in the name of Bayron Marin; $12,950.00

and $500.00 to Fairfax Realty; and $11,810.00 to Family Mortgage.

Purchase of 804 W. Maple Avenue, Sterling, Virginia, in the name

of purchaser "Jf.A."

s. On or about December 2, 2006, the defendant,


contract for the purchase of 804 W. Maple Avenue by M.A.

t. On or about January 12, 2007, the defendants,



of M.A. to borrow funds to purchase 804 W. Maple Avenue.

u. On or about January 24, 2007, the defendants,



of M.A. to borrow funds to purchase 804 W. Maple Avenue.

v. On or about January 24, 2007, the defendants

caused GreenPoint Mortgage Funding Inc. to wire $372,159.72 in

mortgage proceeds from a bank account located in California to a

bank account in Fairfax, Virginia, of a real estate settlement

company, for the purchase of 804 W. Maple Avenue by M.A.

w. On or about January 25, 2007, the defendants


the purchase of 804 W. Maple Avenue to the following: $55,000.00

to an account in the name of NELSON C. CARDOZA; $12,800.00 and

$1,200.00 to Fairfax Realty; and $10,200.00 to CapFirst.

x. On or about January 31, 2007, the defendant,

NELSON C. CARDOZA, deposited a check for $884.80, from the real

estate settlement company payable to M.A., to his account.

Purchase of 210 Birch Street, Leesburg, Virginia in the name of

purchaser nM.A."

y. On or about December 2, 2006, the defendant,


contract for the purchase of 210 Birch Street by M.A.

z. On or about January 10, 2007, the defendants,



of M.A. for funds to purchase 210 Birch Street.

aa. On or about January 30, 2007, the defendant, LIGIA

ABAUNZA MIRANDA, prepared a false and fraudulent letter

purporting to substantiate the employment of M.A. as claimed in

the false mortgage application.

bb. On or about February 7, 2007, the defendants,



of M.A. for funds to purchase 210 Birch Street.

cc. On or about February 7, 2007, the defendants

caused First National Bank of Arizona to wire $363,079.62 in

mortgage proceeds from a bank account located in Arizona to a

settlement account of a bank located in Fairfax, Virginia, for

the purchase of 210 Birch Street by M.A.

dd. On or about February 8, 2007, the defendants


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the purchase of 210 Birch Street to the following: $41,000.00 to

Twins Construction; $11,000.00 and $3,100.00 to Fairfax Realty;

and $12,700.00 to CapFirst.

ee. On or about February 15,2007, the defendant,

NELSON C. CARDOZA, received a check for $8,000 from Twins

Construction.

(In violation of Title 18, United States Code, Section

1349).

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Counts 2-5

(Wire Fraud)

THE GRAND JURY FURTHER CHARGES THAT:

From in or about November 2006 to in or about February 2007,

within the Eastern District of Virginia, the below listed

defendants knowingly and unlawfully devise and intended to devise

a scheme and artifice to defraud mortgage lenders, as described

in paragraphs 2 through 10 of Count One of this Indictment, which

are re-alleged and incorporated as if fully set forth herein, and

to obtain money and property by means of materially false and

fraudulent pretenses, representations, and promises, to wit,

false statements contained in mortgage applications and

supporting documents, and, on the dates listed below, did cause

to be transmitted by means of wire communications in interstate

commerce, the below described writings, signs, signals, pictures,

and sounds for the purpose of executing such scheme and artifice

to defraud.

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(In violation of Title 18, United States Code, Sections 1343 and 2.)

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Forfeiture Notice

1. Pursuant to Rule 32.2(a), the defendants are hereby

notified that, if convicted of either the conspiracy charge in

Count One or the wire fraud charges in Counts Two through Five of

this Indictment, defendants shall forfeit to the United States,

pursuant to Title 18, United States Code, Section 981(a)(1)(C)

and Title 28, United States Code, Section 2461, any property,

real or personal, which constitutes or is derived from proceeds

traceable to wire fraud, in violation of Title 18, United States

Code, Section 1343, including a sum of money equal to at least

$336,957.67 in United States currency, representing the amount of

proceeds obtained as a result of the conspiracy charged in Count

One, for which the defendant is jointly and severally liable.

Pursuant to Title 21, United States Code, Section 853(p), as

incorporated by Title 28, United States Code, Section 2461(c),

the defendant shall forfeit substitute property, up to the value

of the amount described, i.e., $336,957.67 in United States

currency, if, by any act or omission of the defendant, the

$336,957.67 in United States currency or any portion thereof,

cannot be located upon the exercise of due diligence; has been

transferred, sold to, or deposited with a third party; has been

placed beyond the jurisdiction of the Court; has been

substantially diminished in value; or has been commingled with

other property which cannot be divided without difficulty. The

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property subject to forfeiture as substitute assets includes, but

is not limited to, the following:

(a) Black 2003 Mercedes BenzSLK 320 two door,

VIN: WDBKK65F93F271447

(Pursuant to 18 U.S.C. § 981(a)(1)(c), 28 U.S.C. § 2461, and 21

U.S.C. § 853.)

A TRUE BILL:

Pursuant to the E-Govemment Act the ong.nal of this page has been Bled

under aeol ia too Cloris's Office/

FOREMAN OF THE GRAND JURY

DATE: April , 2009

DANA J. BOENTE

Acting United States Attorney

Edmund P. Power

Assistant United States Attorney Attorney for the United States

2100 Jamieson Ave.

Alexandria, VA 22314

phone: 703-299-3700

fax: 703-299-3901

email: [email protected]

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april 2009 term at alexandria, virginia 1. the defendant ... mortgage, llc (hereinafter referred to...

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