St. Louis (KSDK) - A former St. Charles County mortgage broker was sentenced Monday on federal fraud charges.
O'Fallon, Missouri resident Mickey Johnson, 51, was sentenced to 33 months in prison for a scheme that involved four St. Louis area properties.
Johnson pled guilty in August to two counts of wire fraud. He admitted to participating in a scheme relating to the sale of four properties in the 3900 block of Labadie Avenue in north St. Louis.
Court documents state Johnson acted as the mortgage broker and manipulated loan applications of buyers by inflating their income and misstating their intent to use the properties as primary residences.
Authorities say Johnson also concealed down payments and other cash concessions made to the buyers from the sellers. He was profiting from the sales as a silent partner to the sellers of the properties, unbeknownst to the lenders.
The scheme resulted in the loss of more than $200,000 to the lenders when the homes went into foreclosure. The homes have since fallen into disrepair and are not habitable.
KSDK