SAN DIEGO (CN) - The boss of a San Diego mortgage company was sentenced Monday to 3½ years in federal prison for wire fraud and tax evasion.
Brian Nels Peterson, of San Diego, originated $80 million to $100 million in mortgage loans through his company, Terra Finance, the U.S. Attorney's Office said in a statement announcing his sentence.
He admitted falsifying borrowers' incomes and other statements on mortgage documents. He heisted his swag before the real estate market crashed.
"Peterson earned over $1 million from his fraudulent loan business through broker's fees, kickbacks from cash-out refinances, and other sources in 2006 alone," the U.S. attorney said. "He admitted that he failed to report his over $1 million income in 2006, and that he evaded paying taxes by arranging to be paid in cash, and other means."
Peterson was sentenced to 41 months in prison, fined $50,000, and ordered to pay $542,075 in restitution to Citi Mortgage.
Twenty-five people have been charged in the case and 13 have pleaded guilty, the U.S. attorney said. One of the 12 remaining defendants is a fugitive.
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