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Man Arrested, Daughter Sought, In Scam That Bilked Immigrants

June 12, 2012|By EDMUND H. MAHONY, emahony@courant.com, The Hartford Courant

Federal tax agents on Tuesday accused a father and daughter from Wethersfield of using a far-fetched and phony debt-elimination scam to steal thousands of dollars from new U.S. immigrants living in Connecticut and elsewhere.

Because of the scam, through which Deowraj Buddhu and his daughter Sunita collected thousands of dollars in fees from so-called clients, several of the clients were persuaded that they no longer had to make mortgage payments and ultimately lost their homes through foreclosure.

 

The Buddhus are accused of claiming that they could help clients tap a secret government fund created to help homeowners pay mortgages and other debts. The fund was a fiction. But federal tax agents said that, beginning in 2009, the Buddhus convinced immigrants with little education or familiarity with financial instruments that the federal government was providing money for its citizens to pay bills.

 

The debt-elimination racket is not the first time the Buddhus have attracted the federal government's attention in connection with an allegedly phony financial scheme. In 2009, as the result of a civil action by the Justice Department, a federal judge permanently barred the father and daughter from operating a tax preparation business.

In the 2009 case, then-U.S. District Judge Christopher F. Droney found that the father and daughter had prepared thousands of false and fraudulent tax returns from 2004 to 2008, substantially understating the tax liabilities of their clients.

As a result of the tax business, the tax clients, also relatively new immigrants, were left responsible for interest and penalties in addition to their federal tax obligations.

 

U.S. Attorney David B. Fein said Tuesday that the IRS has arrested Deowraj Buddhu, 69, on mail fraud and conspiracy charges. Fein said that Sunita Buddhu has apparently fled and is being sought by federal authorities.

A government affidavit filed in court said that Deowraj Buddhu is a citizen of Guyana and is the subject of a federal deportation order. The same affidavit said Sunita Buddhu had reservations on a flight Tuesday from New York to Guyana. Federal authorities would not discuss her whereabouts.

 

A spokesman for the U.S. Attorney's office did not provide information about how many people the government claims were victims of the debt-elimination scheme and how much money was lost.

The affidavit, prepared by the IRS, said multiple victims lost homes in foreclosure after paying thousands of dollars in fees to the Buddhus for the purported elimination of their mortgages. The IRS said the victims were in Connecticut, Wisconsin, Florida and elsewhere.

The two Buddhus are accused of beginning to recruit debt-elimination clients in the Hartford area in February 2009.

 

Federal prosecutors said victims were instructed to stop making mortgage payments. The victims were next provided with supposed promissory notes that could be sent in satisfaction of debts to banks and other lenders. The Buddhus are accused of charging up to tens of thousands of dollars in fees for the notes, for purported notarization of documents and for other useless services.

Deowraj Buddhu was being held in custody following his arrest. If convicted of mail fraud and conspiracy, he faces as much as 30 years in prison.

http://articles.courant.com/20...ess-debt-elimination

Replies sorted oldest to newest

Originally Posted by alena06:
Folks had to be really stupid to go for this scam. 

Us GUyanese seem to be getting more negative than positive publicity.

Hope they both spend the rest of their lives in jail..

Yes, they are naive, but they were relatively new immigrants so forgive them.  This man must have been a PPP management trainee back in Guyana.  Pity he messed up his daughter's life in the process.

FM

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

FM
Originally Posted by Cobra:

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

Then they have lost the basic principles of our ancestors, work and work honestly, one one dutty build dam.  Scampishness is now a engrained norm in Guyana and we see it playing out over here.

FM
Originally Posted by Mr.T:

It's easy to pull off these kind of scams. The PPP has been doing it for ages on these little educated followers.

Thank God you support an honesty party. The PNC was also an honesty party. All them Blackmen used to bow to the Indians and pay their respect over the century. They use to bring gifts and garlands in the middle of the night for our Indian women. And, I can go on and on. Only the PPP are thieves, murderers and involved in corruptions.  

FM
Originally Posted by baseman:
Originally Posted by Cobra:

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

Then they have lost the basic principles of our ancestors, work and work honestly, one one dutty build dam.  Scampishness is now a engrained norm in Guyana and we see it playing out over here.

Of the thousands of Guyanese in NA, how many are Scamps/Thieves???  Al Yuh must think before opening Al Yuh mouth.

Nehru
Originally Posted by Nehru:
Originally Posted by baseman:
Originally Posted by Cobra:

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

Then they have lost the basic principles of our ancestors, work and work honestly, one one dutty build dam.  Scampishness is now a engrained norm in Guyana and we see it playing out over here.

Of the thousands of Guyanese in NA, how many are Scamps/Thieves???  Al Yuh must think before opening Al Yuh mouth.

Bit too much, but I know nuff honest one also.  But too many six for niners.  But I agree, most are honest hard working folks.

FM
Originally Posted by Cobra:

Nehru:

That count is like a drop in the bucket but when these thing happen it get blown out of proportion. All good coolie get blame as well. Ramotar gets blame. The PPP gets blame. Poor Jagan in his grave get the shaft as well. And, you too, Nehru. 

Crabdaag, Nincompoops, Neemakaram, Lamata and Cunumunu.

Nehru
Originally Posted by baseman:
Originally Posted by Cobra:

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

Then they have lost the basic principles of our ancestors, work and work honestly, one one dutty build dam.  Scampishness is now a engrained norm in Guyana and we see it playing out over here.

Just a small percentage are scamps. Majority of us Guyanese are hard working and honest.

Chief
Originally Posted by Cobra:
Originally Posted by Mr.T:

It's easy to pull off these kind of scams. The PPP has been doing it for ages on these little educated followers.

Thank God you support an honesty party. The PNC was also an honesty party. All them Blackmen used to bow to the Indians and pay their respect over the century. They use to bring gifts and garlands in the middle of the night for our Indian women. And, I can go on and on. Only the PPP are thieves, murderers and involved in corruptions.  

When it comes to corruption the PPP make the PNC LOOK LIKE DUNCES!!

Chief
Originally Posted by Nehru:
Originally Posted by baseman:
Originally Posted by Cobra:

We lost almost all of our Guyanese attorneys, Real Estate and mortgage brokers to scam in Queens. People lives are lost through Richard James. Now Guyanese are seeking new means and ways to get-rich-quick scheme. Our Guyanese are adventurous, they will clime mountains and chartered dangerous rivers just to wind up in jail.

Then they have lost the basic principles of our ancestors, work and work honestly, one one dutty build dam.  Scampishness is now a engrained norm in Guyana and we see it playing out over here.

Of the thousands of Guyanese in NA, how many are Scamps/Thieves???  Al Yuh must think before opening Al Yuh mouth.

Thank you Nehru!!

Chief
Originally Posted by Chief:
Originally Posted by Cobra:
Originally Posted by Mr.T:

It's easy to pull off these kind of scams. The PPP has been doing it for ages on these little educated followers.

Thank God you support an honesty party. The PNC was also an honesty party. All them Blackmen used to bow to the Indians and pay their respect over the century. They use to bring gifts and garlands in the middle of the night for our Indian women. And, I can go on and on. Only the PPP are thieves, murderers and involved in corruptions.  

When it comes to corruption the PPP make the PNC LOOK LIKE DUNCES!!

Dem bais seh yuh seh yuh moo smaart dann moos PPP bais.  Wah yuh wudda do wenn yu bin geh yuh haan pon dah suggah boole.  Muss be datts wy PPP nah gi yuh no wuk?

FM
Guyanese in US charged in bogus debt-elimination schemePDF| Print |
Written by Demerara Waves  
Thursday, 14 June 2012 07:33


(Source: Edmund H. Mahony The Hartford Courant, Conn. (MCT) — Federal tax agents on Tuesday accused a father and daughter from Wethersfield of using a far-fetched and phony debt-elimination scam to steal thousands of dollars from new U.S. immigrants living in Connecticut and elsewhere.

Because of the scam, through which Deowraj Buddhu and his daughter Sunita collected thousands of dollars in fees from so-called clients, several of the clients were persuaded that they no longer had to make mortgage payments and ultimately lost their homes through foreclosure.

A government affidavit filed in court said that Deowraj Buddhu is a citizen of Guyana and is the subject of a federal deportation order. The same affidavit said Sunita Buddhu had reservations on a flight Tuesday from New York to Guyana. Federal authorities would not discuss her whereabouts.

 

The Buddhus are accused of claiming that they could help clients tap a secret government fund created to help homeowners pay mortgages and other debts. The fund was a fiction. But federal tax agents said that, beginning in 2009, the Buddhus convinced immigrants with little education or familiarity with financial instruments that the federal government was providing money for its citizens to pay bills.

The debt-elimination racket is not the first time the Buddhus have attracted the federal government’s attention in connection with an allegedly phony financial scheme. In 2009, as the result of a civil action by the Justice Department, a federal judge permanently barred the father and daughter from operating a tax preparation business.

 

In the 2009 case, then-U.S. District Judge Christopher F. Droney found that the father and daughter had prepared thousands of false and fraudulent tax returns from 2004 to 2008, substantially understating the tax liabilities of their clients.

As a result of the tax business, the tax clients, also relatively new immigrants, were left responsible for interest and penalties in addition to their federal tax obligations.

U.S. Attorney David B. Fein said Tuesday that the IRS has arrested Deowraj Buddhu, 69, on mail fraud and conspiracy charges. Fein said that Sunita Buddhu has apparently fled and is being sought by federal authorities.


A spokesman for the U.S. Attorney’s office did not provide information about how many people the government claims were victims of the debt-elimination scheme and how much money was lost.

http://www.demerarawaves.com/i...mination-scheme.html



 
Sunil

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