Follow That Land Rover! Deed Thieves in California Brought to Justice

Imagine someone gaining control of your home title through deed theft. Then they take a loan out against your home. Someone you don’t know. A loan never heard about.

Then, the scoundrel went out and bought a Land Rover with your property value, and used it to start their own winery.

The Land Rover deed stealer is a real person, whose conviction for grand theft is playing out in the L.A. news reports right now.

This Bad Deed Duo Orchestrated a 6 Million Dollar Scam.

In addition to having to restore their full claims to their titles, deed theft victims might be wondering if justice will be served. What actually happens to deed theft perpetrators? If the rightful deed holder finds out about the scam, and reports it as soon as it comes to light, then justice probably will be served. But the service will likely be slow.

Ronald T. and Misty T. are from Newport Beach, California. Ronald and Misty started taking over titles back in June 2016 — that’s eight and a half years ago. The homes they plundered — there were three — were also in Newport Beach. They laundered the cash they wrongly took, then spent it lavishly. In May 2018, law enforcement charged them with grand theft for taking control of nearly $6 million by fraud. The pair admitted to forging papers and taking home equity out of other people’s homes. Once they had control over funds, said prosecutors, the pair started spending on big-ticket items. They bought the Land Rover and invested in a winery.

Here’s how prosecutors described the rightful homeowners’ loss of the titles to their homes:

Between June 13, 2016, and July 1, 2016, Ronald T____ is accused of taking over the titles of three residences in the city of Newport Beach he did not own or have claims to by submitting paperwork to the State of Delaware indicating he was the sole officer of Capital Win Corporation and Gainquick LLC (CWCG), an investment company based in Laguna Beach.

We first heard about this case back then, when Ronald faced arraignment in court.

And now it’s fair to predict that Ronald won’t be driving luxury cars or sniffing wines for a while. He finally received a prison term.

This Month, Ronald Was Sentenced.

In a plea deal covered by the L. A. Times, Ronald admitted to charges of grand theft and recording false or forged documents. In return, the prosecutors agreed to drop numerous other criminal charges. The four-year sentence was handed down on November 6, following Ronald’s guilty plea.

Orange County Superior Court records show that the U.S. Justice Department charged Ronald with:

• Grand theft — three times.

• Money laundering, involving the transfer of funds among numerous bank accounts, and into the accounts of legitimate businesses.

• Recording false or forged documents — three times.

Charges against Ronald also included no less than 54 acts of money laundering.

Ronald’s spouse Misty, too, has faced criminal charges. She was accused of money laundering and involvement in the three acts of grand theft.

Last year, Misty T. entered a guilty plea, confessing to taking more than $600K in stolen cash. And this year, in Orange County Superior Court in Newport Beach, sentencing took place. As the plea deal was only for one crime, Misty got home confinement instead of jail, according to the Los Angeles Times.

What if they hadn’t taken a plea bargain? Ronald could have faced a California jail sentence of up to 55+ years. Misty faced a potential 24+ years, prosecutors said.

Use of an LLC: Par for the Course?

Ronald used companies (including that limited liability company named, of all things, Gainquick LLC) and told lenders that as head of the LLC, he held the deed of trust for each of the homes. That wasn’t true.

Once they got hold of the home equity, Ronald and Misty bought the luxury SUV, and made a number of other high-priced buys and investments.

The D.A. in Orange County, California opened the case, and the police went after the two  suspects. If there’s any group of people you don’t want to be up against, it’s the Newport Beach Police. Even if you’re in a Land Rover.

Our readers know that LLCs are commonly used for accepting fraudulent deeds, and for receiving stolen home equity. The federal government is increasing its scrutiny on this type of business.

This year, the Financial Crimes Enforcement Network (FinCEN) announced a new rule for owners of LLCs and S corps: the Transparency in Residential Real Estate Transfers rule. Business owners should register by the end of 2024 to comply with the new law, which takes effect in 2025. The law is meant to help the U.S. Treasury Department trace people who benefit from movements of cash through LLCs.

Note to Homeowners: You Have a Valuable Asset. Watch Your Deed.

Home values are sky-high. People looking for sources of cash know it. To get 6 million dollars, the fraudsters in Newport Beach only needed to exploit three deed holders.

Of course, any home or condo owner can be targeted for title theft. Deed holders who know the least about it are the most vulnerable.

We’ve been talking for a while about the growing adoption of local deed activity alerts. More and more county deed recorders’ websites allow residents to sign up for automated messages. These alerts inform the residents that some kind of claim is made on their home equity. Check your county deed recorder’s website. Sign up if alerts are available to you. (These services are free.) So, if something happens, you can call law enforcement before bad actors have a chance to cover their tracks, wash their cash, and retransfer their ill-gotten deeds.

If you detect deed fraud, call law enforcement immediately.