LOS ANGELES (CNS) – A father and daughter from Chatsworth were convicted for their roles in a family-run mortgage relief fraud scheme that siphoned $30 million from homeowners and banks.
Jamie Matsuba, 33, and Thomas Matsuba, 67, were each found guilty in Los Angeles federal court of conspiracy to commit wire fraud, making false statements to federally insured banks and committing identity theft, according to the U.S. Department of Justice.
In addition, both defendants were convicted of one count of making false statements to federally insured banks. U.S. District Judge R. Gary Klausner set May 14 for sentencing.
Dorothy Matsuba, 66, of Chatsworth, who is the mother of Jamie Matsuba and wife of Thomas Matsuba, and her daughter, Jane Matsuba-Garcia, 41, of Camarillo, previously pleaded guilty and are awaiting sentencing. Another defendant, Young Park, of Los Angeles, is a fugitive.
In related cases, Jason Hong, 36, of Chatsworth, and Ryu Goeku, 47, of Canoga Park, previously pleaded guilty and are awaiting sentencing, according to the DOJ.
According to evidence presented during the week-long trial, the defendants ran businesses under the name of Ownership Management Service LLC and Trust Holding Service LLC. From January 2005 to August 2014, the companies claimed to help homeowners get help from high mortgage debt through short sales, in which lenders sell a mortgaged property for less than the amount owed on the mortgage.
The defendants convinced homeowners to deed their property to trusts controlled and created by the Matsubas, while also promising to pay their mortgages while negotiating with banks to short-sell those properties in a scheme to defraud the homeowners and banks.
To slow foreclosure and increase profits, federal prosecutors said, the Matsubas also routinely forged signatures, used stolen and false identities and filed phony bankruptcy petitions.
The DOJ determined the scheme netted the defendants about $30 million.