Meridian Real Estate Agent Sentenced for Mortgage Fraud

BOISE—Melody C. Redondo, 33, of Meridian, Idaho, was sentenced today to 15 months in prison followed by five years of supervised release for making a false statement to a financial institution, U.S. Attorney Wendy J. Olson announced. Chief U.S. District Judge B. Lynn Winmill also ordered Redondo to pay $333,403.26 in restitution and perform 80 hours of community service. She pleaded guilty to the charge on February 15, 2011.

According to court documents, Redondo submitted an application for a $200,000 home equity line of credit from a financial institution. Redondo admitted that she provided false financial information in order to obtain the line of credit.

On October 13, 2010, Melody Redondo was charged with her husband, Paul, in a tencount indictment charging bank fraud, wire fraud, and making a false statement to a financial institution. As part of her plea agreement, Redondo pled guilty to count four, making a false statement to a financial institution. The remaining counts were dismissed.

“False statements to banks in order to obtain home loans or home equity lines of credit undermine the integrity of the housing financing system,” said Olson. “This conviction shows that federal and state law enforcement agencies and prosecutors will work together to ensure that those who would exploit home loans for personal gain are properly punished.”

Paul Redondo pleaded guilty to misdemeanor theft from a financial institution. He was sentenced on May 4 to three years’ probation, three months home detention, 80 hours of community service, and ordered to pay $101,459 in restitution.

The case, which is related to the ongoing Crestwood mortgage fraud involving multiple defendants, was investigated by the Federal Bureau of Investigation, Internal Revenue Service - Criminal Investigation, and the Idaho Attorney General’s Office.