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Home Builder Charged In Alleged Fraud Scheme
Miller Accused Of Conspiracy, Bank Fraud
POSTED: 6:51 pm CDT May 18,
2006
UPDATED: 10:48 am CDT May 19,
2006
OVERLAND PARK, Kan. -- A Johnson County man who was once the area's largest home builder has been charged in connection with a $25 million fraud scheme, KMBC's Jim Flink reported.A federal grand jury returned an indictment Thursday against F. Jeffrey Miller, 45, of Stanley. Miller operated Miller Enterprises and Star Land Development.Miller was charged with 60 counts, including conspiracy, bank fraud and money laundering.
The indictment describes Miller as the kingpin of an operation that included loan officers who forged signatures, appraisers who inflated values, realtors and developers -- all allegedly designed to con banks and down-and-out home buyers out of millions of dollars."Miller advertised that he could sell homes to buyers with credit problems who had little or no money for a down payment," U.S. attorney Eric Melgren said in a news release. "In fact, with the help of willing co-conspirators, he defrauded banks and coerced buyers."The indictment claims the crimes allegedly occurred from 1997 to the present in Johnson County.Eight other people have been charged in the case: Todd Earnshaw, 45, Overland Park; Brian Rouse, 36, Overland Park; Paul E. Nicolace, 50, Overland Park; Angela Parenza, 39, Kansas City, Mo.; Elizabeth L. Hessel, 46, Overland Park; James Moser, 62, Overland Park; Steve Middleton, 45, Stilwell; and Lanny Ross, 64, Leawood.KMBC first reported the alleged scam five years ago when homeowners contacted Channel 9. The buyers were upset about crumbling homes that had cracked foundations, leaky roofs and leaky pipes.Eventually, both the Kansas and Missouri attorneys general got involved. The buyers' complaints led to this week's federal indictments.E-Mail: Contact Jim Flink
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