Brad Pitt’s Charity Duped By Activist In NOLA
From the New York Post:
When Brad Pitt pledged $5 million to build environmentally friendly homes for Hurricane Katrina victims, he never could have imagined he would potentially be housing a criminal.
Robert Green, who was one of the first to receive a home through Brad’s Make It Right program, is being sentenced today on charges of what is being described as a loan fraud scheme.
According to the Associated Press, Green (seen above with Brad in December 2007) pleaded guilty in April to preparing false tax returns attached to fraudulent home loan applications. The disgraced activist profited $8,000 from the scheme, which dates back as far as 2001. Green is now facing five years imprisonment and a fine of $250,000.
The scheme predates the hurricaine. I followed the link to the AP article and was not surprised to see their cheerleading for the thief:
Robert Green lost his home, two family members and the neighborhood he loved to Hurricane Katrina and has been one of only a handful of people to return to the Lower 9th Ward since the storm…..According to demographer Greg Rigamer, the Lower 9th Ward has seen only 9.9 percent of its population return
When one thinks of a handful, 10-20 people come to mind..As of the 2000 census, 14,008 people resided in the Lower 9th Ward. If 9.9% returned, 1,386.792 people or much more than a handful, came back.
Green referred questions about the case to his attorney, assistant federal public defender Sarah Stone. She did not return repeated calls from The Associated Press. However, her boss, federal public defender Virginia Schlueter, had plenty to say on the matter.
She said Green “has done everything he possibly could to make right his wrong.”
His plea agreement requires him to testify for the government if called on, meaning he could testify when Citywide Mortgage Co. owner Michael O’Keefe Jr. goes on trial July 7.
O’Keefe Jr., son of disgraced former state Sen. Michael O’Keefe, is accused of defrauding the federal government into guaranteeing nearly $600,000 in Citywide loans to unqualified borrowers in the scheme. O’Keefe Jr. is scheduled for trial July 7 on charges of conspiracy and money laundering.
Let’s not pretend that this is a victimless crime:
Other lenders, attracted by the U.S. Department of Housing and Urban Development guarantees, bought the loans from Citywide before the borrowers quit paying on the debts, leaving HUD holding the bag, the mid-May indictment said.
The way the scheme worked, according to court papers, was this: Davis bought dilapidated homes on the cheap, typically in the 7th, 8th and 9th wards, then recruited “straw buyers” who agreed to purchase them at inflated prices. For the scam to work, appraisals and loan applications had to be falsified.
Prosecutors have said that appraiser Donald White took payments for inflating home values in his appraisals. White, who is cooperating with the government, has yet to be charged.
Another defendant, Robert Green, helped would-be buyers draw up phony tax returns. Green has pleaded guilty to preparing false tax returns.
Michelle Cochrane, an underwriter at Citywide, acknowledged that she signed off on the stack of bogus paperwork in numerous cases in exchange for money from Davis. In all, she was paid between $70,000 and $120,000, a summary of the case against Cochrane prepared by the government says.
According to the O’Keefe indictment, he falsified loan documents to hide Cochrane role in recruiting mortgage applicants and, as an underwriter, reviewing the accuracy of the information she had obtained from would-be borrowers. Acting in both roles violates HUD rules.
The loans, which were backed by the U.S. Department of Housing and Urban Development, were eventually sold to third parties, after which the straw buyers defaulted, leaving it to taxpayers to pay them off. The straw buyers got a small share of profits Davis made by selling them the real estate.
O’Keefe is alleged to have helped compile and approve fraudulent loan applications that included false information about the applicants’ taxes, credit and employment, as well as an appraisal that inflated the true value of the property being purchased.
And to think The Lower Ninth Ward has the distinction of being one of only a few areas in the city without housing projects!
February 27, 2008 - 12:08 PM on February 27th, 2008
[...] Right Voices wrote an interesting post today on Brad Pitt’s Charity Duped By Activist In NOLAHere’s a quick excerpt From the New York Post: When Brad Pitt pledged $5 million to build environmentally friendly homes for Hurricane Katrina victims, he never could have imagined he would potentially be housing a criminal. Robert Green, who was one of the first to receive a home through Brad’s Make It Right program, is being sentenced today on charges of what is being described as a loan fraud scheme. According to the Associated Press, Green (seen above with Brad in December 2007) pleaded guilty in April to pr [...]
February 27, 2008 - 09:47 PM on February 27th, 2008
How many birds lost their homes while BRAD PITT was building their so called enviromentaly frendly homes?
February 3, 2009 - 12:13 PM on February 3rd, 2009
I was sad to hear of Mr. Green’s illegal activities but I must say a good word for him. I met Mr. Green while trying to do research for an artwork about FEMA trailers in NOLA. Despite as many as 50 letters and emails to every newspaper, gov’t agency and even area artists that I could come up with, only 2 private individuals would to talk about the trailers in Spring 08 and Mr. Green proved to be one. He was gracious, informative and opened his FEMA home to me, as well as introducing me to other neighbors. When I tried to pay him for his help and time, he refused to take any money. When pressed, he gave me a name and address where I could donate to those still in need. He knew he was to get a MIR home and wanted to pass along the help.
Many will be caught up in this sub-prime lending scheme but as usual, it will be the small fry who will pay the biggest price. If Mr. Green made mistakes, they should be weighed against the great good he has done in helping so many after Katrina. I know his great faith will sustain him. God Bless!