Real estate agent admits mortgage fraud

GREENBELT, Md., May 14 (UPI) -- A Maryland real estate agent admitted Thursday to participating in a $16 million scheme that defrauded homeowners trying to fend off foreclosure.

Wilbur Ballesteros, 33, of Lanham, Md., pleaded guilty in federal court in Greenbelt to conspiracy to commit mail and wire fraud, the FBI said in a release.

In his plea agreement, Ballesteros acknowledged that two co-defendants set up a company named Metropolitan Money Store that promised to aid people who were in danger of losing their homes. The owners were convinced to transfer title to straw buyers and promised that equity taken out during the sale would be used to pay their mortgages.

Investigators said that Ballesteros was involved in more than 60 sales. He set up a company, WB & Associates which became a vehicle to transfer money to the people involved in the fraud.

Ballesteros faces a substantial prison term and large fine when he is sentenced in December.