I keep hearing such speculation in the wake of Grass Valley attorney and Loan Sense businessman Thomas Hastert’s arrest for allegedly “brazenly deceiving” investors and borrowers in our county and neighboring ones.
Seventy-three criminal counts were filed against Hastert in Nevada County Superior Court last month for alleged embezzlement, securities fraud, conspiracy and filing false documents.
Hard-money loans — financing where a borrower receives funds secured by the value of a parcel of real estate — were commonplace in the go-go days. Many of the deals unraveled when the market plunged.
Hastert alone allegedly brokered more than 270 hard-money loans.
The investigation into the Hastert case is ongoing. Investigators often have a hard time with these cases unless victims come forward.
“White collar” crime is tedious and time-consuming work, requiring special expertise. But it often touches a lot of people, so it is worth the time.