Company to pay restitution of $244,000
Castle Realty Appraisal Services, Inc., a New Castle, Pa.-based corporation, has been sentenced in federal court to pay $244,000 in restitution and to serve two years of probation on its conviction of bank fraud, the U.S. Attorney said this week.
Senior U.S. District Judge Gustave Diamond imposed the sentence on the company.
According to information presented to the court, the company provided fraudulent appraisals to First Commonwealth Bank concerning a loan application.
The appraisals were fraudulent because they misrepresented the values and conditions of the properties and whether the properties were occupied.
The case was investigated by the Mortgage Task Force, a collection of federal, state and local law enforcement agencies and other government agencies concerned with the mortgage industry.