PROVIDENCE – Hasan Hussain, 57, of Princeton, N.J., was sentenced to 13 years in federal prison and was ordered to pay more than $1.4 million in restitution to victims of a mortgage fraud scheme that operated in Rhode Island.
The case was tried in U.S. District Court for the District of Rhode Island in Providence.
Hussain pleaded guilty in September and had faced the prospect of up to 32 years in prison. At the time of his guilty plea, Hussain admitted his scheme defrauded investors of funds or good credit and that he assisted investors acquire federally backed mortgages through fraudulent means.
Hussain was also found to have misused identities, and cut and pasted signatures on property deeds and financial documents.
In his fraud scheme, Hussain targeted distressed property owners seeking loan modifications. Hussain would convince the homeowners to pay him fees, move out of their homes and to short sell their homes. Hussain would get lenders to agree to lower terms by directing other individuals to damage the homes. He would then sell the properties to investors at a higher price.
At the time of his plea, the U.S. Department of Justice noted that he had previously been convicted and incarcerated for a real estate fraud scheme in Massachusetts.