Archive for March, 2016

HUD Scams

Saturday, March 12th, 2016

Sergio Garcia and his children, Sergio Garcia II and Tomi (aka Tomasa) Johns, continue to perpetrate a variant of the “Phony Hold” involving HUD homes. The HUD Scam starts with the Garcias finding homes foreclosed by the federal Department of Housing and Urban Development (“HUD homes”) that have been assigned to local real estate brokers for resale to the public. The Garcias then obtain access or break into the HUD homes in order to remove the authorized broker’s marketing materials and signs. Later, the Garcias advertise the HUD homes “for sale” on craigslist and place signs on light poles or around the neighborhood. After luring in a victim, the Garcias offer to “sell” the HUD home to the victim offering incredible deals and request a large “earnest money deposit” to secure the sale. No sale occurs and the victims are out their earnest money.

The Committee to Obtain Justice for the Victims of Sergio Garcia, Inc. recently assisted another Garcia victim and obtained a $5,000 recovery. Here is a copy of the Complaint filed in Federal Court.