Niantic Real Estate Developer Sentenced To Federal Prison For Mortgage Fraud Offenses

A press release from the U.S. Department of Justice:

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that John Doran, 64, of Niantic, formerly of Deep River, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 12 months and one day of imprisonment, followed by five years of supervised release, the first six months of which Doran must serve in home confinement under electronic monitoring.  

On April 4, 2013, Doran pleaded guilty to one count of making false statements to influence a bank in connection with a mortgage application.

For much of his professional life, Doran has been a builder and construction manager of high-end homes and real estate developments throughout Connecticut.  According to court documents and statements made in court, in March 2005, Doran submitted a false individual tax return to JP Morgan Chase in connection with a $500,000 refinance loan application.  The tax return indicated that his adjusted gross income for 2003 was $296,735 when, in fact, the actual 2003 tax return he filed with the Internal Revenue Service showed an adjusted gross income of -$81,911.

In March 2007, Doran submitted false individual 2003 and 2004 tax returns in connection with a loan application to Wachovia Dealer Services to finance the purchase of a yacht.

In May 2007, Doran applied to Bank of America for a mortgage to purchase a condominium in New Haven.  In connection with the application, Doran submitted a false individual tax return that indicated that his adjusted gross income for 2004 was $464,197 when, in fact, his actual 2004 tax return showed an adjusted gross income of -$69,298.  Doran also submitted to the bank a fictitious sale contract for his personal residence in Deep River and a false bank statement.

Doran subsequently defaulted on the three loans.

As part of his sentence, Judge Chatigny ordered Doran to pay restitution of $991,883.65.