Loan Modification Scamster Gets Five Years

Glenn Steven Rosofsky was sentenced today to 63 months in prison for his role in a loan modification scam, according to the U.S. attorney's office. He pleaded guilty to charges of wire fraud, money laundering, and filing false tax returns. Rosofsky and Michael Trap (who previously pleaded guilty) operated a loan modification business under the names "National Housing Modification Center" and "Federal Housing Modification Department." Rosofsky admitted he falsely told customers that he had attorneys and forensic accountants on staff and that the operation was based on "Capitol Hill" in Washington. The judge has ordered him to pay $457,000 in restitution to victims.

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5 years is a gift-I woudl have slammed him with 15.

If he would have knocked over a gas station for $5 he would have gotten 15 years. Best, Don Bauder

Five years is probably not enough, but I am not very familiar with legal system. However, $450k in restitution is definitely not enough. People who commit financial fraud should be hit very hard where it hurts them--in their finances. A penalty of 20 or 50% of their assets, in addition to restitution, is a much fairer penalty and one that may deter this type of predator.

I would be interested to know what percentage of those required to pay restitution actually do so. They are sent off to prison and may spend 3 or 5 years there. If they have stashed the loot offshore, most are NOT going to repatriate it and pay what the judge demands they pay. If they have not secreted it offshore, will they pay? I would love to see those stats. My guess is they are deliberately kept secret. Best, Don Bauder

They do not repay the money;

1) they dont have it;

#2) they wouldn't pay it even if they did;

#3) Exhibit #1- OJ Simpson

Simpson went to Florida, which protects criminals. Your house can't be seized there. So you build a $30 million home. Thus, Florida attracts dirty money from around the U.S. Best, Don Bauder

whats his net profit after paying "restitution"

I have no idea what would be left after payment of restitution. But I don't expect him to pay it. Best, Don Bauder

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