U.S. Attorney Phillip A. Talbert announced Thursday four people were indicted on wire fraud and bank fraud related to a short-scale scheme.
Fifty-five-year-old John Ballard and 54-year-old Judy Calderon Ballard, both of Atwater, 54-year-old Sherry Herbert and 53-year-old Andrea Todd of Fresno were named in the six-count indictment.
Calderon and Ballard were licensed real estate salespersons and owners of property in Atwater. The couple requested permission to short-sell the property to Todd and Herbert after defaulting on a loan on the Atwater property.
They utilized fraudulent representations to obtain approval to conduct the transaction. The banks approved the financing for the short-sale and charge-off of funds, according to court documents.
Ballard and Calderon never had any intention of transferring the property to Todd and Herbert.
Todd and Herbert were arraigned Thursday and Calderon and Ballard’s arraignments are scheduled for November 29. They face a maximum 30-year prison sentence and a $1 million fine.