U.S. Attorney Statement
FOR IMMEDIATE RELEASE
STATEMENT FROM U.S. ATTORNEY JOHN F. WOOD
ON TODAY'S JURY VERDICT IN
US v. ZWEGO, ET AL
While much of the public attention regarding this case has focused on these two defendants, for the U.S. Attorney's Office this case was about mortgage fraud. It is important to remember that the government did not seek out any particular defendants in this case. Instead, this case had its roots in the personal integrity of a private citizen - an honest appraiser who became suspicious and contacted an F.B.I. agent to voice his concerns.
KC Business Journal Headlines
Hi Don,
David had shared this article with ne shortly after the Greater KC MBA meeting you both attended. I'm conducting some internal fraud training, and this afternoon's audience is primarily composed of Fannie Mae quality control appraisers in our National Underwriting Center. I wanted to reach out to you and let you know that I'm sharing it internally.
I'd love to chat with you sometime about your experience - the article is very interesting reading, one I'm sure that you'll remember for the rest of your life! Was the article ever published anywhere? I'd like to look at that, too....
Kudos, you did the right thing!
Amy Heinz
Senior Industry Relations Manager
Mortgage Fraud Program
312 368-6235
Standing Tall
Dear Don,
Thank you for "standing tall" in the mortgage fraud case. Your conduct exemplifies what we all expect of appraisers, but some appraisers have fallen short in the past. As a former chair of the AQB, I can tell you that your actions speak loudly in Washington and in appraiser and lender regulatory circles. You make me and thousands of other appraisers proud of our profession.
Sincerely,
Scott R. Williams, MAI, SRA
Scott Williams Appraisal Inc.
1816 Grand Ave.
Wausau, WI 54403
715-842-3311
Fax: 715-848-1123
scott@scottwilliamsappraisal.com
Good Job Don!!
Worked for 3 years as a Review Appraiser for a major subprime/AltA lender and could have been in your shoes any week of a given month. Great job, you did the right thing... Sorry for the loss (or lack) of income for your expert testimony.
Peter Owens
Atlantic Appraisal Services
Phone/Fax (914) 631-5821
Well Done
Don,
I don’t normally read these Appraisal Buzz emails, but yours caught my eye over a cup of coffee this morning.
All I can say is "well done".
Having said that, you also give hope that during times like these, it means something to be a professional, and not a “vendor” of a specific commodity as those in the lending industry would like to classify our colleagues. Our lending business is way up as bank examiners are now starting to put heat on lenders for using “file stuffer” appraisals from marginal firms and are now forced to use reputable firms to CYA.
Anyway, thanks again for your actions and courage.
Kurt M. Mueller, MAI , Principal
MUELLER AND COMPANY, INC.
Commercial Real Estate Consultants
8220 SW Warm Springs Street, Suite 100
Tualatin, Oregon 97062
503.218.4404 - Direct
503.620.0881 - Office
503.620.0927 - Fax
FBI Story
Hi Don,
I wanted to thank you for your FBI story. Years ago, you were our appraisal vendor in Kansas City, when I worked for Providian Home Loans. You did a retrospective appraisal on a property in Blue Springs that was part of an appraisal fraud case from 1997-1998. We were able to win our claim based on your objective report.
I still work in the default mortgage business, and will be happy to send default clients your way, should they have a need in Kansas City.
Best wishes for your business in the future,
Marc Rosso
REO Manager
Irwin Home Equity
San Ramon, CA
Wow
My name is Jeniffer Wertz. I am a real estate appraiser in Sacramento, Ca. I am currently suing Washington Mutual, LSI, and eAppraiseIT. There is a thread about it on AF.
I read the article posted on Appraiser's Forum. I can totally relate to many of the feelings you talked about. I also am just an appraiser that couldn't have imagined being in this position. I got a call from the producer of the CBS evening news, and I swear I almost fell out of my chair. The nervousness about what court will be like, and which government officials I will eventually have to testify for, is a lot to think about. Sleepless nights...yep.
Anyway, I just wanted to let you know I appreciated reading your story. It gives me something to look forward to that you now look back after getting through it, and are proud for doing the right thing. You should be proud.
Sincerely,
Jeniffer
Your article in Appraisal Buzz
Hi Don
I know that you have probably received numerous e-mails in response to your article, but I just have to e/m you to say that you make me proud to be an appraiser, and I'm sad to say that doesn't happen often lately. I work in the Valuation Dept of a major servicer of sub-prime mortgages, and I see so, so many grossly inflated appraisals. It can get to be very depressing at times. Thank-you for having the courage to stand up and do something about it! Your story is inspiring.
Kathleen D. Connally, SRA
Review Analyst - ORA
561-682-7164
Kathleen.Connally@Ocwen.com
Appraisal Buzz Article
As a banker for 20 years and an appraiser for 45 years, I thank you for what you did for all of us, not just appraisers, but the public as a whole.
J. D. Buchwald
Bandera, Texas
Congratulations
I have been working with the FBI in Maryland and the State of Maryland Office of Attorney General for months on multiple cases. I know it is troublesome, but hang in there. I am waiting for some psycho appraiser or mortgage broker to show up at my doorstep any day now, my next court appearance is April 1, 2008 Case number DLR-REA-71-07-45872. This is a case of identity theft, appraisal fraud, bank fraud and the list goes on an on.
I worked on the REAC team at HUD for a few years and testified on many cases. I then worked for a large company that filtered appraisal before they were funded by sub prime lenders. I came across many bad apples.
I am just trying to be a simple appraiser now, working for a bank. Still wondering who that car is driving up my driveway. We all have to stand together and when the dust settles we will be standing and the scum will wash away.
Good luck my friend
Rick Mulderick, CGA, MA, IFA
Maryland
Thanks
Don,
I have read your article about mortgage fraud, etc. I add my thanks to the thousands of others you have probably received for your integrity and courage. I hold the MAI, CRE, and FRICS designations and am proud to be a part of our profession. Your actions embellish my pride. What you did was costly to you in stress and time but to our profession it was invaluable. I have copied your story and my note to two of my sons who are also appraisers of the highest integrity.
John M. Duncum, MAI, CRE, FRICS
Thanks
Mr. Gossman,
My name is Mike Burke and I was an appraisal review manager for Argent Mortgage Co. which has since gone out of business. We utilized your services on many occasions in an effort to protect our interest. As an appraiser that worked for a lender I just want to say thanks for doing the right thing. I spent all day fighting with brokers and their appraisers over the value and quality of the reports. I consider myself very ethical and proud to be a good appraiser. I hope if I am ever confronted with a situation similar to yours that I do the right thing.
Take Care!
Michael A. Burke
Certified Residential Appraiser
Associate Member of the Chicago Chapter of the Appraisal Institute.
Presentation at the ARELLO conference in Branson, Missouri
Hi Mr. Gossman:
I attended your session at the ARELLO District Conference and found it very enlightening. I admire you for standing up and doing the right thing.
You mentioned an article that you wrote about your experience. I was wondering if you would allow me to publish it in our next newsletter. I think it would be of great interest to our licensees here in North Dakota.
I look forward to hearing from you.
Thank you,
Pat Jergenson
Executive Director
North Dakota Real Estate Commission
200 E Main Ave Suite 204
Bismarck, ND 58501
701-328-9737
701-328-9750 (fax)
pjergenson@nd.gov