GRAND RAPIDS, MI—Seamus P. Dillon, 37, of Ada, was sentenced to two years in federal prison, followed by three years of supervised release, and ordered to pay restitution in the amount of $755,693 after pleading guilty to conspiracy to commit mortgage fraud, U.S. Attorney Patrick Miles announced today. The conspiracy charge alleged that during 2007, Dillon and others defrauded a bank in connection with a mortgage for 2295 Indian Mill Creek Drive NW, in Grand Rapids Michigan. As a result of a series of false statements designed to defraud the lender, Dillon and his cohorts obtained approximately $850,000, which they used for their own purposes.

In delivering the 24-month sentence, Chief U.S. District Judge Paul L. Maloney emphasized that mortgage fraud is a serious crime that undermines our financial system and hurts ordinary citizens by driving down property values. The prison sentence will be followed by three years’ supervised release.

“Mortgage fraud, like many financial crimes, threatens the financial health of our communities,” said Carolyn Weber, Acting Special Agent in Charge, IRS-Criminal Investigation. “IRS-Criminal Investigation will work diligently with the U.S. Attorney and our law enforcement partners to ensure that those who participate in these illegal activities are investigated and brought to justice.”

The FBI and IRS investigated the case as part of the Western District of Michigan’s Mortgage Fraud Task Force. This group was created to investigate and prosecute the growing number of mortgage fraud cases that have recently come to light. Assistant U.S. Attorney Timothy P. VerHey prosecuted this case.