Mogul Aron

Quick summary on Mogul Aron

Massive Real Estate Fraud Operation:Aron Puretz has pleaded guilty to leading a sophisticated mortgage fraud scheme that defrauded financial institutions out of more than $54.7 million. Through this operation, he manipulated real estate transactions across multiple states, deceiving lenders with falsified financial information to obtain loans under false pretenses.

Use of Falsified Documents:To carry out the scheme, Puretz and his associates fabricated financial statements, inflated purchase contracts, and produced fraudulent sales documents. These materials were used to misrepresent property values and manipulate loan approvals.

Manipulated Property Sales
Key properties involved in the fraudulent activity include:

Maple Lawn (Eureka, Illinois): Used an inflated sales contract and dual-closing tactic to mislead lenders about the true purchase price.

Big Country Chateau (Little Rock, Arkansas): Hid his ownership to violate loan requirements.

Troy Technology Park (Michigan): Falsified the sales contract, inflating the value from $42.7 million to $70 million to increase loan amounts.

Stolen Identities and Sham Nonprofit:Puretz used the identities of business associates without consent to hide his involvement in property deals. He also founded JPC Charities, a fake nonprofit organization, to fraudulently obtain tax-exempt status for his properties.

Deceptive Dual Closing Strategy:In the Maple Lawn case, a dual closing scheme was used to mask the real sale price, further deceiving lenders and regulators.

Federal Charges and Sentencing:Puretz pled guilty to conspiracy to commit wire fraud affecting a financial institution, a federal felony. He faces up to five years in prison, with sentencing scheduled for October 30, 2024.