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IN THE NEWS SEC Files Suit Against Utah Man for Fraud Scheme Commission (SEC) filed a civil injunctive action against Ivan Wade Brown and two of his companies—Highland Residential, LLC and Avanti Capital Partners, LLC. The SEC alleges in a complaint that The Securities and Exchange Vermont rank: 16 90+ Day 1.74% 1.58% 10.35% 90+ Day Brown solicited more than 93 investors via mail, email, and phone and managed to raise more than $27 million through the fraudulent and unregistered sale of promissory notes in Highland and Avanti. Brown, who is a resident of Alpine, Utah, led investors into thinking that Highland and Avanti would use their funds to make secured bridge loans to people purchasing or building a residence under circumstances that he represented as being of little-to-no risk. Instead, Brown spent a significant por- 2.50% year ago 1.90% percent point change 31.47% 32.90% Top Core-Based Statistical Area BURLINGTON-SOUTH BURLINGTON, VT 90+ Day 1.41% year ago 1.31% percent point change 7.59% tion of the investor funds on other things, including personal use, to make Ponzi pay- ments, to invest in properties other than the ones he had identified, and to invest in other suspected forms of fraud, including a mineral refiner and a movie production. According to the release, Brown began the sale of unregistered promissory notes for Highland in 2004, and in 2007, he formed Avanti following investigations from Utah's Division of Securities surrounding Highland. KNOW THIS Barclays is forecasting Utah to close out 2012 with a 6.6 percent increase in home prices before appreciation rates settle down and values rise 4.5 percent in 2014. 108 25.59% note: The 90+ Day delinquecy rate is the percentage of outstanding mortgage loans that are 90- plus days delinquent. The foreclosure rate is the percentage of outstanding mortgage loans currently in foreclosure. State rank is based on the July 2012 foreclosure rate. All figures are rounded to the nearest decimal. The unemployment rate reflects preliminary July 2012 figures released by the Bureau of Labor Statistics. All other data courtesy of Lender Processing Services. 2.26% Delinquency Rate july 2012 2.84% Foreclosure Rate 4.72% Delinquency Rate Foreclosure Rate july 2012 3.83% year ago 3.26% percent point change 17.50% Top County ORLEANS COUNTY Delinquency Rate july 2012 6.27% Unemployment Rate 5.0% 5.6% -10.7% Foreclosure Rate IN THE NEWS Virginia Man Pleads Guilty to Bank Fraud, Faces Up to 20 Years Virginia pled guilty in August for his role in a massive bank fraud scheme that contributed to the collapse of Bank of the Commonwealth. Thomas E. Arney, 56, of Chesapeake, A developer and restaurateur from Virginia, admitted to conspiracy to commit bank fraud, unlawful monetary transactions, and making false statements, according to a statement from the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) and federal officials. Arney faces sentencing on December 3 and could receive a maximum penalty of 20 years—five years each for the conspiracy and false statement counts and 10 years for the unlawful monetary transactions count. According to the statement, Arney Virginia rank: 44 90+ Day 2.22% 2.30% -3.51% 90+ Day 0.75% year ago 1.91% percent point change -60.74% 1.26% Top Core-Based Statistical Area WINCHESTER, VA-WV 90+ Day 2.06% year ago 2.43% percent point change -14.97% -1.87% note: The 90+ Day delinquecy rate is the percentage of outstanding mortgage loans that are 90- plus days delinquent. The foreclosure rate is the percentage of outstanding mortgage loans currently in foreclosure. State rank is based on the July 2012 foreclosure rate. All figures are rounded to the nearest decimal. The unemployment rate reflects preliminary July 2012 figures released by the Bureau of Labor Statistics. All other data courtesy of Lender Processing Services. 2.41% Delinquency Rate july 2012 2.36% Foreclosure Rate 3.98% Delinquency Rate Foreclosure Rate july 2012 1.64% year ago 1.80% percent point change -8.55% Top County GRAYSON COUNTY Delinquency Rate july 2012 4.03% Unemployment Rate 5.9% 6.4% -7.8% Foreclosure Rate admitted to performing certain favors for insiders at the failed bank in exchange for preferential lending. He also admitted to assisting insiders with hiding the financial state of the bank by purchasing bank-owned properties. The bank was shut down by regulators in September 2011, and according to the FDIC, the cost of the failure is estimated to be $268.3 million. SIGTARP says the bank lost nearly $115 million from 2008 to the day it ceased operations. MMREM Ranks 116 on the Inc. 500|5000 List (MMREM) was recognized among the fastest-growing privately held companies in Inc. Magazine's 31st annual 500|5000 list. MMREM ranked number 116 out of Matt Martin Real Estate Management 500 U.S. companies. MMREM received the ranking based on an increase in revenues of 2,669 percent from 2008 to 2011. The company is a national asset management and default services firm that deals with multiple federal agencies and mortgage servicers, investors and insurers. In order to be eligible for the 500 list, companies need to achieve a minimum of 770 percent growth in a three-year period.