The former president of a national settlement agent has admitted to duping mortgage lenders out of $13 million in proceeds from refinance loans.
Steven Leff, 45, pleaded guilty to charges that he embezzled more than $13 million in loan proceeds from refinance transactions his company handled, the U.S. Department of Justice and the Federal Bureau of Investigation announced yesterday.
Leff was the former president of National Settlement Agency.
Among the victims were several banks insured by the Federal Deposit Insurance Corporation.
Leff admitted he stole the funds, which were supposed to be disbursed to various individuals and entities, including individuals who sold and refinanced properties and prior mortgage holders, the statement said.
He faces up to 30 years in prison at his sentencing, which will be held before U.S. Magistrate Judge Thomas E. Boyle at the U.S. courthouse in Central Islip, N.Y.
“In the midst of a mortgage refinancing boom, the defendant took advantage of his position as a trusted agent of lender banks to embezzle mortgage loan proceeds for his personal gain,” U.S. Attorney Benton Campbell said in the announcement.
