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FTC Refunds Nearly $3 Million to Victims of Mortgage Relief Scam

Published
Score
14

Why it matters

The Federal Trade Commission and California Department of Financial Protection and Innovation have begun distributing $2.8 million in refunds to 1,821 homeowners victimized by a mortgage relief scam. Operating under names including Golden Home Services and Home Matters USA, the defendants collected illegal upfront fees while falsing promising lower mortgage payments and foreclosure protection. A federal court found the operators—Michael Nabati, Armando Solis Barron, Dominic Ahiga (also known as Michael Grinnell), and Roger S. Dyer—liable and banned them from the telemarketing and debt relief industries.

The scheme used at least five additional business names: Academy Home Services, Amstar Service Group, Atlantic Pacific Service Group, Home Relief Service of America, and Westwood Advocates. Defendants misrepresented their services as connected to government mortgage relief or COVID-19 relief programs to lure homeowners into paying advance fees for services never delivered.

Attorneys should note that the FTC is reminding recipients to cash checks within 90 days and to disregard any requests for payment or account information to claim the money. Homeowners receiving unexpected checks from this settlement should verify their legitimacy through the FTC's official channels before taking any action.

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