Eight people from Bakersfield and a man from Los Angeles have been indicted in what authorities call a five million dollar mortgage fraud scheme similar to the Crisp and Cole case.
Federal prosecutors say these people worked for and operated Jara Brothers Investments, Paragon Realty, and Paragon Home Mortgage. Investigators say they defrauded lenders by paying off people to buy houses at inflated prices using falsified or exaggerated income on loan documents.
The indictment alleges that Eliseo and Sergio Jara were the kingpins along with their sister Lucia Chavez.
