(SAN FRANCISCO) -- Five real estate investors were charged for their alleged roles in rigging bids at public foreclosure actions, officials announced Tuesday.
Northern California investors Joseph Giraudo, Raymond Grinsell, Kevin Cullinane, James Appenrodt, and Abraham Farag are accused of defrauding mortgage holders and others by agreeing to stop bidding for properties during events in San Mateo and San Francisco counties.
The investors took the actions in return for payoffs and concealed the fact that funds were diverted from homeowners and mortgage holders.
From 2008 to 2011, the defendants planned to rig bids in order to obtain several properties sold at auctions. They also allegedly paid others not to bid and accepted bribes.
“These charges demonstrate our continued commitment to investigate and prosecute individuals and organizations responsible for the corruption of the public foreclosure auction process,” said David J. Johnson, FBI Special Agent in Charge of the San Francisco Field Office. “The FBI is committed to work these important cases and remains unwavering in our dedication to bring the members of these illegal conspiracies to justice.”
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