NORFOLK, Va. (AP)- A North Carolina man who pleaded guilty to defrauding commercial mortgage lenders will spend 20 months in a federal prison.
U.S. Attorney Neil MacBride says 40-year-old Stephen M. Gunther of Hertford, N.C. also must pay more than $231,000 in restitution.
Gunther had pleaded guilty in March to wire fraud. He was sentenced Monday in federal court in Norfolk.
MacBride says Gunther, who has a law office in Virginia Beach, acted as a settlement agent in closing four home loans totaling about $978,500 in 2006. Gunther secretly used his own money to pay closing costs on behalf of straw buyers and subsequently was reimbursed by a third party. He also disbursed proceeds to a third party instead of to the seller.