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12 arrested in Long Island mortgage scam ring

N.Y. State Attorney General Andrew Cuomo. (September 2009)

Photo credit: AP | N.Y. State Attorney General Andrew Cuomo. (September 2009)

Twelve people, including attorneys and loan officers, were arrested Thursday for allegedly running a Long Island-based ring that used fake buyers with bogus identities to net $9 million in loans between 2005 and 2007, state and federal officials said.

The scam - over a period when lending practices in general ran amok - covered the loan process from start to finish, and each ring member had...

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