Final Defendant Sentenced in Foreclosure Rescue/Drug Distribution Scheme
|U.S. Attorney’s Office April 16, 2014|
SHERMAN, TX—A 43-year-old McKinney, Texas man has been sentenced to federal prison in connection with a combination foreclosure rescue and drug distribution scheme in the Eastern District of Texas, announced U.S. Attorney John M. Bales.
Julius Williams pleaded guilty on August 21, 2013, to conspiracy to commit mail and wire fraud and was sentenced to 46 months in federal prison today by U.S. District Judge Marcia Crone. Williams was also ordered to pay $1,432,208.00 million in restitution.
According to information presented in court, from February 2007 to June 2012, Jarrod Williams, Julius Williams, and Charles Williams controlled and operated Applied Investment Strategies Inc. (AIS), which marketed itself as a foreclosure rescue service offering assistance to homeowners at risk of foreclosure. However, once a homeowner detained AIS, the defendants fraudulently used the customer’s personal identification information to prepare and send false military orders to banks and lending institutions in order to claim relief from foreclosure under the Servicemember’s Civil Relief Act. AIS would then lease out the home and collect rental payments for AIS’ benefit. The scheme involved approximately 38 homes throughout North Texas and also extended to interfering in the repossession of automobiles. After at least one of the fraudulently acquired properties was vacated, Charles Williams, Christopher Carter, and Sean Harrell turned it into a marijuana grow operation that housed approximately 1,300 marijuana plants that were intended for distribution. A federal grand jury returned an indictment on July 11, 2012, charging the defendants with federal violations.
Jarrod Williams, 34, of McKinney; Charles Williams, 39, of McKinney; Christopher Carter, 34, of Leicester, England; and Sean Harrell, 38, of Dallas, are each currently serving prison sentences ranging from 41 to 57 months.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Shamoil T. Shipchandler.