Texas Man Sentenced In Mortgage Scam

HOUSTON (February 26, 2013)--A federal judge has sentenced Patrick Cody Morgan of Alvin to 27 years in prison and ordered him to repay $25 million in a condominium mortgage scam.

Morgan was sentenced Monday in Houston.

In October a jury convicted Morgan of conspiracy to commit bank fraud and nine counts of bank fraud.

Morgan represented himself in the scheme that prosecutors say involved about 100 properties and government-insured loans topping $39 million.

Prosecutors say co-defendants recruited people with good credit to seek loans.

They then failed to repay the money and the condos fell into foreclosure.

Investigators say the fraud ran from mid-2004 through September 2007.

Five co-defendants earlier pleaded guilty.

Four await sentencing while the fifth was sentenced earlier this month to five years in prison.


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