Joseph allegedly used a company called SCIPC LLC to hide his involvement in the purchase of a Park City property in 2006 for $3.4 million. Less than two weeks later, Joseph entered into a contract to purchase the property for $7 million.
He allegedly used a false "seller carry" loan to fool the lender into believing he had financing from other sources and provided false financial and other information to a mortgage broker.
The broker in turn used the information to obtain a loan from Washington Mutual for $4.9 million and a line of credit for $700,000, netting Joseph about $2 million in the transaction, the indictment said.
Joseph also is set to go to trial March 13 on two misdemeanor counts of failing to file a tax return for 2004 and 2005.
Joseph's company, Annuit Coeptis LLC, was listed as one of the managers of Koerber's FranklinSquires LLC. Joseph also was named as a top executive of the operation.
Koerber allegedly used about half of the $100 million that FranklinSquires Cos. and his Founders Capital took in to pay interest to investors in what's known as a Ponzi scheme. No trial has yet been scheduled in the case.
Joseph did not return a voice mail message seeking comment on the indictment.
If convicted, Joseph faces a maximum penalty for each count of wire fraud and money laundering of 10 years in prison and fines of $250,000.
Joseph will be issued a summons to appear for an arraignment on the charges, according to the U.S. Attorneys Office in Utah. The case was investigated by the FBI and IRS Criminal Investigation.
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