A Wayne, Pa. man was today sentenced to 33 months in prison for leading a mortgage fraud conspiracy that netted nearly $1 million, according to the U.S. Attorney's Office.
Thomas C. Phelan, 35, started Phelan Mortgage Associates and for three years, officials said he worked with fellow employees to defraud lending institutions out of close to $1 million from August 2006 to February 2009.
In October, Phelan pleaded guilty to conspiracy to commit loan and wire fraud, three counts of loan fraud and one count of wire fraud.
One loan fraud victim during sentencing called the scheme "a heartless crime."
In addition to Phelan's 33-month sentence, he must pay restitution of $850,670 to two lenders.