(WKBN) – A three-year real estate fraud scheme that included purchases in Cincinnati has ended with a New York man pleading guilty.
Boruch “Barry” Drillman, 36, pleaded guilty Wednesday to taking part in a massive conspiracy to obtain more than $165 million in loans and fraudulently acquire apartment complexes and commercial real estate. .
Federal prosecutors say Drillman conspired with at least four others to deceive lenders into issuing multifamily and commercial mortgages. Drillman and his co-conspirators provided lenders with fictitious documents, including sales agreements that inflated the purchase price. Drillman ran BRC Williamsburg Holdings LLC, which purchased the Williamsburg apartment complex in Cincinnati, Ohio, and Troy Technology Holdings LLC, which purchased the Troy Technology Park commercial property in Troy, Michigan. .
The Cincinnati property was acquired for $70 million, but Drillman and his co-conspirators at Rodim Capital Abdivers used their stolen identities to transfer $95 million in sales deeds and other forged documents to Fannie Mae. presentation.
The property had two closings, one for the real $70 million and one for a bogus $95 million price offered to lenders.
In a commercial real estate scheme, Troy Technology Park in Michigan was purchased for $42.7 million, but Drillman and his co-conspirators backed up a fake $70 million purchase agreement and inflated purchase price. Presented other false documents to the lender.
There were two closings on the property, one for $42.7 million and the other for a bogus price of $70 million.
Drillman pleaded guilty to one count of conspiracy to commit wire fraud affecting a financial institution. He is scheduled to be sentenced on April 16, 2024, and could face up to five years in prison. A federal district court judge determines sentencing after considering the U.S. Sentencing Guidelines and other statutory factors.
