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n a shocking turn of events, two Modesto residents with Fijian roots have been handed prison sentences for masterminding a brazen mortgage scam that left lenders reeling. Jyoteshna Karan, 52, and Praveen Singh, 45, orchestrated a multi-million dollar scheme that spanned nearly a decade, from 2006 to 2015.

    At the heart of their operation was a clever tactic known as "straw purchasing," where they'd buy homes on behalf of others to circumvent restrictions. They also employed short sales, selling properties for less than the mortgage balance with lender approval, all while raking in profits. But here's the kicker: after acquiring these homes, Karan and Singh would allow them to fall into foreclosure, only to flip them to unsuspecting buyers at market rates.

    The consequences were staggering – lenders suffered over $3 million in losses as a result of their scheme. Court documents reveal that Karan and Singh used their real estate expertise to deceive lenders, employing unwitting participants, fabricated documents, and shell companies to carry out their plan. They even went so far as to use Singh's mother as a straw purchaser, fabricating her income and employment history to make the transactions appear legitimate.

    Their scheme was built on lies and deceit, but ultimately, it was their own undoing. Karan will spend three years and four months behind bars, while Singh faces two years in prison for their roles in this massive mortgage scam.