Monday, September 19, 2011

Broker’s License Revoked for Fraudulent Mortgage Scam

The California Department of Real Estate has officially revoked the license of broker, Bic D. Pho and his affiliates for their involvement in falsified loan applications and real estate straw buyers.  Pho is also banned from any further real estate related business activity.

SACRAMENTO – After an extensive investigation, the California Department of Real Estate (DRE) revoked the broker license of Bic D. Pho and his affiliated corporations, Mariposa Mortgage Inc. (Mariposa), and Vision Quest 21, Inc. (Vision Quest), for multiple acts of fraud involving real estate straw buyers and falsified loan applications.

In addition to revoking the real estate broker license of Pho, the DRE issued a Bar Order against Pho that precludes Pho from working in related fields for three years. The Bar Order, issued on August 29th, bars Pho from participating in any real estate related business activity of a finance lender, mortgage banker, bank, credit union, escrow company or title company.

“Bic Pho’s fraudulent activities were egregious and illegal, and he should never be allowed to work in real estate again,” stated Barbara Bigby, Acting Real Estate Commissioner. “The fraud perpetrated by Pho and others contributed to the mortgage melt-down, but the revocation of his license and the issuance of the Bar Order ensures he will not broker another mortgage loan,” Bigby added. Pho and his corporations, based in San Jose, California, used multiple straw buyers and bogus loan applications to purchase properties throughout Northern California. Pho, acting through his real estate company, Vision Quest, would present a purchase offer to a seller of a single family home, indicating that the straw buyer would occupy the property. Once the offer was accepted, Pho, acting through Mariposa, would submit a loan application to a lender that falsified the straw buyer’s income in order to get the loan approved. In no instance did the straw buyer ever occupy the property nor did the straw buyer make any loan payments. In some instances, Pho used his employees and relatives to perpetrate the fraud on the lenders. -- Online Real Estate License Training by Easy Real Estate School.

The revocation of Pho’s license is just one disciplinary action of hundreds taken this year by the Department. The Department revoked a record number of real estate licenses for cause in fiscal year ending in June 2011. The Department also accepted another record number of license surrender  from licensees facing disciplinary action. In 2011, 801 licensees had their licenses revoked or surrendered their licenses while facing accusations, a 13 percent increase from the 709 revocations and surrenders in 2010.

Consumers should always guard against fraudulent real estate practices by visiting the Department’s website to verify license status before engaging someone’s services. A license status check notifies consumers whether a person is licensed, how long he or she has been licensed, and whether the licensee has been previously disciplined or is facing disciplinary action.

The Department also provides consumers with educational materials and Consumer Alerts such as a brochure on “Using the Sevices of a Mortgage Broker” and tips on how to avoid loan modification scams. For more information about the Department of Real Estate visit


  1. This is a good example for those who tries to do fraud transactions with their clients. The consumers should really be wary and do research before closing a deal when it comes to real estate.

    new homes for sale Connecticut

  2. This topic was your advantage among other blogs out there. This blog contains and provide definitely unique ideas and information.

    Dallas Property Management

  3. If your looking for your next dream home The Serrao Team is here for you! With over 30 years of experience helping families obtain the American dream we have what you expect and are here to help take that big step.

  4. things have become easy and superfast. All at your fingertips
    real estate course

  5. Interesting information as presented in an interesting way - I hope that you will frequently update your blog.
    Sky Miltonia

  6. We can be more effective if we had something that we can use on our business. Important knowledge that we can use towards our goal to be successful on our real estate business. It would be nice if we can find someone who can help us in the way we handle our business who is knowledgeable in doing everything regarding our business.

    Real Estate Investment in Australia

  7. There are lots of investment to choose from. But try to venture in a business that will let you earn a huge amount of income. The one that would change your life. Try Property Investment Macaky and see if you can be successful in that business.

  8. I appreciate the good work you are doing! I’ve really enjoyed reading it. You’ve arouse me a great interest. I’ll investigate it more. Keep up doing it!
    Redondo Beach home inspection

  9. Thanks for taking the time to post such a detailed and informative article. Keep sharing like this...Sharon Bush

  10. I have гead a few good ѕtuff here.
    Definitelу value booκmaгκing wongaliga fοr reviѕiting.
    І wonder hοω ѕο much attempt yоu ѕеt to create this
    sort οf excellent infoгmative

  11. Recognize what our agents can do for our Property Investments Australia. It would be huge for us if we have something that will help us handle our business like a good agent. Learn and continue learning is the key to ensure that our business will succeed.

  12. Good brief and this post helped me alot in my project. Gratefulness you seeking your information.Keep up the good work all disney movies musicals

  13. You're home loan training ought to begin with some fundamental clarifications that will help you comprehend and pick your advance: shutting costs, APR, rate, regularly scheduled installment, ARM, settled, and obviously, contract. content

  14. Can you tell me more about Need to calculate some mortgage payments asap.