Ashburn Man Pleads Guilty to $20 Million Mortgage Fraud

Robert Mikail, 41, formerly of Ashburn, Va, entered a guilty plea earlier this month related to charges that he conspired to commit bank fraud in a nearly $20 million mortgage scheme.

A federal grand jury indicted Mikail in April on conspiracy and bank fraud charges involving real estate in Northern Virginia for which loans were fraudulently obtained, according to a U.S. Department of Justice press release.

When sentenced in October, Mikail faces up to 30 years in prison.

Mikail admitted in a statement of facts that he conspired with loan officers, including Bing-Sing “Cindy” Wang, to defraud mortgage lenders and purchase homes in the region. Mikail stated in the document that he recruited five “straw buyers” who applied for loans. On several loan documents, the straw buyers listed Mikail’s jewelry store, Opus Jewelry, as their employer. Mikail would then confirm the information to lender.

In all, Mikail stated that the scheme involved more than 30 homes in Ashburn from 2005 to 2007, with the fraudulent loans totaling about $19.9 million. All of the loans defaulted, resulting in losses for the banks, while Mikail profited by about $882,000, according to the DOJ release.

Co-conspirator Wang, the owner of Lifetime Financial Services in Herndon, VA, pleaded guilty to related charges in November and received a 24-month sentence in February.