A Connecticut man has been indicted for tax fraud, money laundering and identity theft stemming from a long-running scheme that targeted distressed homeowners, according to the U.S. Attorney’s office. He’s also charged with federal tax evasion of more than $1 million.
Federal officials said Timothy W. Burke, 64, known by at least 13 other aliases, was charged in a 10-count indictment for falsely representing to homeowners who were in, or facing, foreclosure on their homes that he would purchase their homes and pay off their mortgages. He entered a plea of not guilty in Hartford federal court yesterday.
According to the indictment, since at least April 2008 and continuing to at least Nov. 19, 2015, Burke allegedly engaged in a scheme to defraud individuals, mortgage lenders and the U.S. Department of Housing and Urban Development. Burke would get the homes signed over to him and then rent out the properties and falsely represent himself as the owner. Burke or his agents would collect the rents and then use them for Burke’s personal gain. Many of the properties Burke purportedly purchased were ultimately foreclosed upon by the mortgage lender.
The indictment also alleges that Burke evaded paying more than $1 million in federal taxes.
In addition, the feds allege, Burker began his fraud scheme just months after serving a five-year sentence in New Jersey for conspiracy to commit both equity skimming and mail fraud. He was ordered upon his release to never be employed again in the real estate or mortgage industries.
