Arlington, Texas Appraiser – Gandhi Ben Morka – Sentenced to 5 Years! Comments by Business Ethics Speaker Chuck Gallagher

False appraisals for property purchased in the Dallas / Fort Worth area lands Gandhi Ben Morka a 60 months federal prison sentence and a $2.3 million restitution bill!

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Background: Seems that Morka, age 52, from Arlington, TX was convicted on one count of conspiracy to commit mail fraud and wire fraud, four counts of wire fraud and two counts of mail fraud. The government presented evidence at trial that Morka conspired to defraud Countrywide by locating single family residences in and around the Dallas, Texas area that were for sale and recruiting straw purchasers and borrowers to purchase the targeted residences. Then Morka would prepare appraisals on the properties, inflating the value to an amount far greater than the fair market value, double in most instances.

Every choice has a consequence. As a business ethics speaker, (www.chuckgallagher.com) I find that more and more as I speak to financial institutions the theme of mortgage fraud rears its ugly head. There are three components to most frauds: (1) need or perceived need; (2) opportunity; and (3) rationalization. As we entered the era of easy credit and sub-prime mortgages, there was almost too much opportunity and without effective controls in place the landscape was ripe for fraud.

Now as we see the pendulum swing the other way the crimes that have been committed are coming to light. Morka has been in the custody of the bureau of prisons since his conviction in late August, ’07. With the time he will be facing, he will be able to reflect on the effectiveness of doing a proper appraisal – although that service he will likely be prohibited from ever doing again.

Business Ethics Speaker – Chuck Gallagher – signing off…

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2 Responses to Arlington, Texas Appraiser – Gandhi Ben Morka – Sentenced to 5 Years! Comments by Business Ethics Speaker Chuck Gallagher

  1. Dana Griffin says:

    Mr. Gallager I would like to comment on the Morka case. I know of a person he was involved with that is in the mortgage industry as well. Since she was a broker she had him on some of her deals with Countrywide. I have more of a question than a comment. This lady has purchased vehicles in clients name as well as had utility services turned on. The companies that she was working under to use their license basically just terminated her and nothing has been done legally. Not only that she can still get a job in the industry however there are a few people that are aware of her and will not do business with her. But the fact is she is still able to go out and obtain peoples information and use it however she sees fit. She rarely closes loans because everything she does with them are underhanded, but who can I report her to so she won’t be able to be in this industry anymore. She used my information for a commercial loan and purchased a lexus. They pick up the car from her cleared my credit and that was it. She also obtained $5k from me for what she said to be for appraisal and processing fees and the rest would go into escrow. Needless to say there was never an appraisal done on the property and she said she would send me a full refund in a brokers check from the company she was with at the time (Van Dyke). I have yet to see a check and Van Dyke said she never brought the loan to them so they feel they have no liability. Some say this is a civil case. What do you think and who do I contact to have something done? My opinion is the individual is criminal minded all the way. Please contact me soon with a response. I know this is a lot to obsorb but I am desperate. Thank you for your time.

  2. Several questions have been asked here so here are some answers or guidance:

    * If you feel that a law has been broken then contact the US Attorney’s office in the area where the crime may have occurred. Google US Attorney and you’ll find the site that can lead you to the various offices of the US Attorneys.

    * Likewise, if you feel that a crime has been committed and the person is licensed, then it would be appropriate to report the alleged crime to the licensing board so they can perform an investigation.

    Hope these suggestions help!

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