United States v. Uhrich

228 F. App'x 248
CourtCourt of Appeals for the Fourth Circuit
DecidedJune 1, 2007
Docket05-4486, 05-4487, 05-4490
StatusUnpublished
Cited by1 cases

This text of 228 F. App'x 248 (United States v. Uhrich) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Uhrich, 228 F. App'x 248 (4th Cir. 2007).

Opinion

PER CURIAM:

Kelly J. Johnston, Fredric D. Leffler, and David A. Uhrich were convicted of charges relating to a scheme to defraud mortgage lenders. Johnston brings her appeal asserting that the district court erred by: 1) upholding the Magistrate Judge’s probable cause determination and denying her motion to suppress certain evidence; 2) mismanaging discovery in the case and denying her motion for a continuance; 3) denying her motion to sever; 4) denying her motion for a new trial; 5) denying her motion for judgment of acquittal; 6) incorrectly calculating the amount of loss attributable to her; and 7) allowing the government to ignore its statutory obligations regarding restitution. Leffler also argues that the district court erred in denying his motion to sever.

In Uhrich’s appeal, he contends that the district court erred by 1) admitting evi *251 dence of certain real estate transactions and 2) sentencing him in violation of the Sixth Amendment to the Constitution.

We disagree with the arguments made by Appellants and, thus, for the reasons stated below, affirm the judgment of the district court.

I.

This case arises out of a scheme to defraud mortgage lenders, organized and led by Walter P. Hammond. From 1997 through 1999, Hammond purchased over 200 properties from long time Baltimore landlords who wished to sell all or part of their portfolios of rental row houses. (J.A. at 1873.) Hammond found investors who agreed to become “buyers” of the houses in exchange for a payment from Hammond of $1,000 to $2,000 per house. The price of the houses averaged between $10,000 and $15,000 per house, and Hammond typically sold the houses for $40,000. (J.A. at 1362.) The mortgage lenders believed they were financing the purchase of the properties by loaning eighty percent of the purchase price of a house to a buyer/investor who was putting up twenty percent of the purchase prices. (J.A. at 815, 1004, 1013, 1306-07,1328.)

Hammond’s scheme revolved around the mortgage loan. The purchase prices of the houses were supported by false appraisals. (J.A. at 1363, 1369, 1508, 1511.) The appraisals were artificially inflated through the use of comparable houses which, in fact, were out of the neighborhood or purchased at inflated prices in other schemes to defraud. (J.A. at 1093, 1363.) Mortgage brokers, working with Hammond, created fraudulent mortgage applications, listing false information. (J.A. at 1368-69.) These applications were submitted to lenders along with the inflated appraisals.

Settlement on the sale of a house to Hammond and on the subsequent sale of the same house from Hammond to an investor usually took place on the same day. One hundred forty five of Hammond’s properties were settled at Tower Title and Performance Title, two title companies run and owned by Co-Defendant Kelly J. Johnston. (J.A. at 1727-28.) Co-Defendant Fredric D. Leffler served as the title companies’ lawyer. (J.A. at 1727-28.)

At settlements, investors promised the lenders to pay the mortgages, while Hammond promised the investors that they did not have to pay the mortgages. Hammond supplied the investors with cashier’s checks in the amount of the down payment required at the settlement table. At first, the down payment funds came from Hammond’s earlier property sales. (J.A. at 1378.) However, certain lenders did not require a cashier’s check at settlement. For such lenders, the down payment funds were provided for in one of two ways. At times, the loan proceeds paid to Hammond were reduced by the down payment amount. At other times, Johnston and/or Leffler directed the title company employees to break the escrow and advance to Hammond lender funds which he then used to purchase a cashier’s check in the name of the investor. (J.A. at 1379-81.)

Hammond utilized Co-Defendant David A. Uhrich to locate investors and agreed to pay Uhrich a referral fee for any investors Uhrich recruited. (J.A. at 1365.) When one such investor did not have sufficient income to qualify for a mortgage loan, Uhrich suggested that she inflate her income on loan applications by falsely using his company as her employer to add additional income. (J.A. at 1112-13.)

Uhrich borrowed $70,000 from another investor, Annette Porter, to be used for the purchase of a house at 9499 Coral Crest Way, Vienna, Virginia. (J.A. at 682- *252 84, 715-16.) Uhrich was to repay the $70,000 in three months. (J.A. at 682-84.) However, he was unable to pay the money back. Instead, Uhrich offered Porter an investment opportunity to make some money by becoming an investor in Hammond’s scheme. (J.A. at 686.) Uhrich told Porter they could open an account together and split the money paid by Hammond. (J.A. at 689.)

Additionally, Uhrich and Hammond found large homes in which they wished to live and titled the homes in the name of a fictional buyer, Leandro Rivas. (J.A. at 715-16.) The homes were at 751 Intrepid Way, Davidsonville, Maryland, and at 9499 Coral Crest Way, Vienna, Virginia. Hammond diverted proceeds from his scheme to help purchase these homes, and Uhrich provided the loans and the name Leandro Rivas.

Johnston was indicted on eighteen counts of mail and wire fraud, convicted of five counts, sentenced to a period of imprisonment of 27 months, and ordered to pay approximately $57,000 in restitution, among other penalties. Leffler was indicted on seventeen counts of mail and wire fraud, convicted of all counts, and sentenced to a period of imprisonment of 37 months. Uhrich was indicted on four counts of mail and wire fraud, convicted of three counts, sentenced to a period of imprisonment of 33 months, and ordered to pay a $300 Special Assessment and approximately $82,000 in restitution. Each of these co-defendants now appeals.

II.

Johnston contends that the district court erred in upholding the Magistrate Judge’s probable cause determination and denying her motion to suppress certain evidence. We disagree.

A.

Although we make a de novo review of the denial of the motion to suppress by the district court, the finding of probable cause by the Magistrate Judge is entitled to great deference from this Court. United States v. Wilhelm, 80 F.3d 116, 118-19 (4th Cir.1996). Hence, our responsibility today is merely to make certain that the Magistrate Judge “had a substantial basis for concluding that probable cause existed.” Illinois v. Gates, 462 U.S. 213, 238-39, 103 S.Ct. 2317, 76 L.Ed.2d 527 (1983) (alteration marks, internal quotation marks, and citation omitted).

Search warrants must particularly describe the place to be searched and the items to be seized. Andresen v. Maryland, 427 U.S. 463, 480, 96 S.Ct. 2737, 49 L.Ed.2d 627 (1976). “[F]ishing expedition[s]” or “a random exploratory search or intrusion” in violation of the “particularity” requirement of the Fourth Amendment are disallowed. United States v. Owens, 848 F.2d 462, 466 (4th Cir.1988).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Clark v. Bridges
211 F. Supp. 3d 731 (D. South Carolina, 2016)

Cite This Page — Counsel Stack

Bluebook (online)
228 F. App'x 248, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-uhrich-ca4-2007.