Bayside, New York – Jong Shin was the alleged mastermind of a mortgage fraud and money laundering scheme that involved residential properties in Atlantic City, New Jersey has his initial appearance in connection with a two-count indictment.
The Indictment charges that Shin conspired with others to get hold of more than a million dollars of mortgage loans for unqualified borrowers during June 2006 through December 2006 to purchase seven houses in Atlantic City at inflated prices. The Indictment further alleges that Jong Shin and other members of the conspiracy took out a portion of the proceeds from the fraudulently obtained mortgage funds paid at the real estate closings, which Shin used to, among other things, gamble, purchase a liquor store and make payoffs to her coconspirators in furtherance of the scheme.
Shin surrendered and following a brief hearing before the Honorable Joel Schneider, U.S. Magistrate Judge, was released on $100,000 bail. The Indictment is the latest step in an ongoing investigation by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division into fraudulent mortgage loans in southern New Jersey.