Second Person Accepts Plea Deal in Connection With Mortgage Fraud Scheme in Midland

Second Person Accepts Plea Deal in Connection With Mortgage Fraud Scheme in Midland

Staff Report
NewsWest 9

MIDLAND - A second person has plead guilty after being charged in a massive mortgage fraud scheme in Midland.

Michael Duraine Cowan pled guilty on Tuesday as part of a plea deal.

Investigators say between March 2003 and August 2011, Berta McFaddin, Stephen Hilliard, Cynthia Hirsch and Cowan, came up with a same-day property flip scheme.

We're told Hilliard and Cowan would buy property used for one of their investment companies then sell the same property at a higher price to another investment company.

McFaddin and Hirsch are accused of getting the papers needed to get the properties and bank loans.

McFaddin has already accepted a plea deal after a judge excluded evidence in the case showing the group paid back the banks that were allegedly defrauded.

Trial date for Hilliard and Hirsch is scheduled for September second.