2 men convicted in $15M Calif. foreclosure scam

SACRAMENTO, Calif. (AP) -- Federal prosecutors say two brothers have been found guilty in a $15 million foreclosure scam in California that tricked desperate homeowners into losing everything.

Department of Justice spokeswoman Lauren Horwood said Thursday a jury found 36-year-old Charles Head and 33-year-old Jeremy Michael Head guilty of mail fraud and other charges.

Between January 2004 and March 2006, Head Financial operated in Orange County soliciting homeowners facing foreclosure with promises to help them avoid foreclosure and repair their credit. Instead, through misrepresentations, fraud and forgery, victims signed over titles of their homes without knowing it.

Sixteen people were indicted in 2008 on mail fraud and other charges.

Ultimately, victims were left homeless, without equity and damaged credit.

Charles Head faces another trial in September. Michael Head is due for sentencing August 21.