LOS ANGELES -- Federal agents arrested 10 people who worked at a Rancho Cucamonga-based business that allegedly offered bogus loan modification programs to financially distressed homeowners, according to federal prosecutors.
During an 18 month period that began in June 2008, the phony business, 21 Century Real Estate scammed more than 4,000 financially distressed homeowners of at least $7 million in fees they paid to the company, and many homeowners lost their homes to foreclosure, the U.S. Attorney's Office stated.
A Rancho Cucamonga woman, Andrea Ramirez, operated 21 Century and several other companies.
Ramirez and other 21 Century employees made false promises and guarantees regarding the real estate company's ability to negotiate loan modifications from mortgage lenders, falsely representing that 21 Century was operating a loan modification program sponsored by the federal government.
Ramirez and others instructed homeowners to stop communication with their mortgage lenders and stop making mortgage payments.