ATLANTA (CBS ATLANTA) -
A former mayoral candidate from Cartersville was sentenced to federal prison Friday for a mortgage fraud scheme involving kickback, arson, luxury vehicles and a private airplane, according to court documents.
Gregory Cordell, 46, was sentenced to two years three months in a federal penitentiary followed by five years of supervised release.
He also was ordered to pay $1,005,804.20 in restitution.
According to United States Attorney Yates, Cordell bought a house and six acres of land at 179 Old Mill Road in Cartersville, Georgia, for $1.25 million.
Although the seller had listed the property for approximately $950,000, Cordell and the seller agreed to inflate the sales price by $307,000, obtain an inflated mortgage from Washington Mutual, and then pay the extra $307,000 to Cordell after closing, according to Yates. The kickback arrangement was not disclosed to the bank.
In his loan application, Cordell also overstated his annual income, claimed that he owned several properties that he no longer owned, and understated his financial liabilities.
"The FBI will continue its efforts to ensure that individuals such as Mr. Cordell, who engage in bank fraud schemes of this type, are identified, investigated, and brought forward for prosecution," said Brian D. Lamkin, Special Agent in Charge, FBI Atlanta Field Office.
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