Our firm investigates business entities that have committed some form of fraud or deceptive business practice, which has harmed a group of consumers in a similar manner. We have successfully resolved numerous consumer fraud claims, helping thousands of people recover their losses. For the last six decades, our firm has stood up to unscrupulous corporate organizations to help consumers in a wide range of consumer fraud matters.
Several victims of a mortgage fraud scheme have filed a civil class action lawsuit against more than 20 defendants who defrauded people in Virginia, North Carolina and Kentucky.
Among the more than 20 defendants are Robert and Tamara Scott Penn, Sharon Penn, and Beulah Penn., who is the mother of Robert and Sharon. Robert Penn is the registered agent for EU Group, LLC; Realty Options, LLC; and Land Economics LLC.
The Lawsuit
The 25-page suit claims that local residents were unknowingly included in a mortgage fraud sham that involved buying modestly priced homes, inflating appraisals, and selling them at the inflated price.
According to the suit, Robert Penn and the other defendants assembled a group of legitimate businesses and individuals to defraud mortgage lending companies.
The suit states that the Penns and the other defendants recruited participants by word of mouth and at churches by giving them invitations into the “investment opportunity or real estate club.”
The suit claims that the people who were recruited were tricked into being straw buyers by promises of profits and improved credit ratings.
More Claims
The defendants allegedly told the participants that the group would buy property and secure mortgages requiring no down payment. The club would then rent the properties out or otherwise manage them free of charge.
The club members would not have to make monthly payments on the properties because the money they gained from renting it would more than cover that cost as well as pay profits to club members.
But, “in reality, Penn and his associates were and, upon information and belief are still engaging in a pattern of racketeering activity to defraud” participants, the suit claims.
Victim of consumer fraud? If you or a loved one has been a victim of consumer fraud, you may not be alone. Please contact us today for a free consultation with an experienced consumer fraud attorney who may be able to help you recover compensation for yourself, and for others who may have been defrauded in the same way.
Consumer fraud class action lawsuits are specifically designed to help individuals who have been similarly aggrieved to pursue a common goal – namely to hold the deceptive business accountable for any damages suffered. Thus, consumers who have been defrauded by a corporation or other entity may file a consumer fraud class action lawsuit on behalf of themselves and others to seek compensation for their shared grievance.
If you feel you have been the victim of consumer fraud or any type of fraud, please contact us to learn about your legal rights and options. WE VALUE YOUR PRIVACY: any information you provide on this secure form will be held in the strictest confidence and will only be used by our attorneys to determine how we can help you.