Matthew Cox

Okay.

So Simon's the brains behind the operation.

Yours owns a property, and he recruits Jose into basically a quick claim deed over yours' own property to Jose.

They go out and get a $290,000 home equity line of credit on the property in Jose's name, because he's now the owner of the property, from the first bank, and they just split that money.

They don't make any payments on the loan.

Okay.

Okay?

Four months later, they create fake documents notifying the clerk of courts that the HELOC is paid off, like a satisfaction of mortgage for a HELOC.

Okay.

And then they go out and get a second $250,000 HELOC on that property from a new bank, splitting the money again...

And then you said that HELOCs work like a credit card.

It certainly works as a line of credit, but often what you're doing is you're writing checks against it.

Somehow, and I don't understand how this happened, the bank allows them to go overdrawn on their HELOC

$290,000.

Wow.

Okay.

Right?

So they get, again, just to do the math here, and it's where $290,000, they get $290,000 HELOC, then they get a $250,000 HELOC, and then they draw an additional $290,000 on that second HELOC.

Okay.

So the numbers are adding up.