Broken Arrow Man Sentenced In Real Estate Scheme

NewsOn6.com

BROKEN ARROW, Oklahoma -- A Broken Arrow man who pleaded guilty to fraud charges was sentenced on Tuesday to 7.5 years in prison and ordered to pay restitution. Gerald Snow Sr., 68, was convicted of conspiracy to commit wire fraud and five counts of wire fraud in a real estate scam.

Prosecutors say Snow and his son, Jerry Snow, built and sold houses in the Jordan Oaks and Megan Farms subdivisions of Wagoner County, defrauding mortgage lenders in the process. The Snows told buyers they would pay down payments, closing costs and provide cash back after closing.

2/23/2010 Related Story: Broken Arrow Businessman Pleads Guilty To Fraud Charges

In order to get financing for the buyers, the Snows submitted false loan applications, falsely reported the source of down payments and closing costs and inflated the purchase prices of the homes. They also concealed the cash back payments to buyers.

The real estate fraud scheme was uncovered during an investigation by the FBI. Snow received the prison sentence, 3 years of supervised release. He was ordered to pay $124,396.06 in restitution costs and to forfeit $2,560,397.87 to the United States.