Crime - Sacto 911

Roseville man convicted of three counts of wire fraud in connection with mortgage scheme

A Roseville man was found guilty of three counts of wire fraud Tuesday in connection with a large-scale mortgage fraud scheme dating back more than a decade.

Erik Hermann Green, 37, attempted to defraud the New Century Mortgage Co, an Irvine-based finance corporation, according to a news release issued Wednesday by the U.S. Attorney’s Office for the Eastern District of California.

Evidence presented during his seven-day trial alleged that Green submitted false employment, income and assets documentation, filled out fraudulent loan applications and altered bank documents, according to the release.

At the time of submitting a loan for $820,000 in October 2006, Green was a licensed real estate agent and managed about 15 loan offices, according to the release.

Green also received a check for $100,000 that was diverted through a shell company as a part of the fraud scheme, which he used for personal expenses, according to the release.

Green was previously tried and convicted of the fraud in 2015, but the verdict was overturned after an appeal. A spokeswoman for the U.S. Attorney’s Office said Green’s expert witness was disallowed in the first trial.

Green’s co-defendants Stephen and Janis Pirt previously pleaded guilty to wire fraud, with the former being sentenced to 25 months in prison in 2015 and the latter being sentenced to five years probation and one year of home detention in 2014, according to the release.

Green is scheduled to be sentenced on June 13. He faces up to 20 years in prison and a $250,000 fine for each count of wire fraud.

Vincent Moleski covers business and breaking news for The Bee and is a graduate student in literature at Sacramento State. He was born and raised in Sacramento and previously wrote for the university’s student newspaper, the State Hornet.