Moses S. Hall previously had served prison time in New Jersey and was disbarred in California in 2012, prosecutors say.
NEWARK -- Authorities say a convicted felon from Blackwood arrested by federal agents Friday was behind a mortgage modification scheme that cheated California residents out of more than $1 million.
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Prosecutors say some of the victim's of Moses S. Hall's alleged mortgage modification scheme lost their homes. (File photo)Moses S. Hall, 60, who formerly had a law practice in Fullerton, Calif., was indicted by a federal grand jury there last week on one count of mail fraud, 13 counts of wire fraud and two tax offenses, according to a statement from the U.S. Attorney's Office for the Central District of California.
Prosecutors say he convinced more than 75 distressed homeowners to turn over their mortgage payments to him, claiming he would use the funds to negotiate with the banks on their behalf.
Instead, prosecutors say, Hall used the funds for himself, withdrawing more than $1 million from the bank accounts in which the victims deposited their payments.
Some of the victims subsequently lost their homes, including one couple who prosecutors say gave Hall $400,000 for use in the purported negotiations. Hall spent all of those funds in only six months, and the couple lost their home to foreclosure, according to the statement.
Hall is a previously convicted felon who served seven years in state prison before being admitted as an attorney in California, the statement said. Court papers say he previously was charged with homicide and later convicted of armed robbery and conspiracy to commit armed robbery.
Hall previously had been disbarred in California in 2012 for misconduct in "loan-modification matters," according to the statement.
Prosecutors say he faces up to 284 years in federal prison if convicted of the charges.
Thomas Moriarty may be reached at tmoriarty@njadvancemedia.com. Follow him on Twitter at @ThomasDMoriarty. Find NJ.com on Facebook.
