The U.S. Department of Justice announced this week that a husband and wife from Houston, Texas were convicted by a federal jury of conspiracy, bank fraud, false statements on credit applications, wire fraud and mail fraud. The announcement was made by U.S. Attorney Kenneth Magidson.
Carlos Wydler, 45, and Leyla Wydler, 57, had created the scam using their mortgage and banking connections. Leyla Wydler had owned and operated several Houston-area businesses such as Globan Mortgage Company, Casa Milagro and First Milagro. While Carlos Wydler was the Vice President of a California bank in charge of the bank’s credit card department.
Leyla Wydler would send hundreds of applications for high dollar credit lines to her husband so she could get an esay approval. Most of the applications contained falsified income information and falsified supporting documents about borrowers’ employment, income and assets.
Carlos would then approve the application calling them “balance transfers” and then he cash advanced the entire credit line to the borrower via wire or check with Leyla Wydler would make a hefty commission on the borrowers’ loan proceeds.
The defendants used part of the proceeds to develop a Houston area real estate project to finance investors which was not disclosed to the bank.
Leyla Wydler had made out with more than $1.4 million from the fraudulent transactions, with Carlos Wydler approving approximately $600,000 more in loans to family members.
It is estimated that more than 50% of the loans had defaulted resulting in a more than $8 million for the bank.
The husband and wife partners in crime each face up to 30 years in federal prison and a possible $1 million maximum fine on each count of conviction.