A former federal prisoner turned mortgage broker was sent back to prison for more than 12 years Wednesday after pleading guilty to wire fraud and money laundering.
Torrence James, 44, of Centennial admitted that he used false information to obtain home loans for unqualified buyers and withdrew $300,000 from proceeds generated by fraudulent home sales, according to his plea agreement.
James is one of several defendants indicted in a mortgage-fraud scheme that had once ravaged the Villas at Cherry Creek, a gated community in Aurora overlooking Cherry Creek State Park.
James had served time in federal prison for distribution of cocaine.
From August 2004 through May 2006, James and co-defendant Ronald Fontenot conducted a scheme to obtain loan proceeds from lenders using false statements and representations, according to court records. The intent of the scheme was to profit from residential properties by fraudulently securing real estate purchases, typically using straw buyers.
The total loss to lenders was $3.7 million.
The case was investigated by the Internal Revenue Service criminal division, the U.S. Secret Service and the Aurora Police Department. Assistant U.S. Attorneys Tim Neff and Ken Harmon prosecuted the case.
Felisa Cardona: 303-954-1219 or fcardona@denverpost.com
Failed mortgage scheme
Prison sentences for seven people charged in a fraudulent mortgage scheme:
Ronald Fontenot: 72 months
Talita James: 24 months
Torrence James: 12 years
Cindy Ingram: 28 months
Taiwan Lee: 30 months
Nicole Puller: 34 months
Glenn Puller: 12 months
