Ronald J. McCord Sentenced for $51.8M Mortgage Fraud Scheme

OKLAHOMA CITY – In a stunning revelation of white collar corruption, 71-year-old Ronald J. McCord was today sentenced to 104 months in federal prison for orchestrating a $51.8 million mortgage fraud scheme that decimated local banks and homeowners.

Mccord, the former President of First Mortgage Company, LLC (“FMC”), was found guilty of bank fraud, money laundering, and making false statements to financial institutions. The fraudulent conduct not only robbed local banks out of tens of millions but also left homeowners in perilous financial situations.

Acting U.S. Attorney Robert J. Troester emphasized the severity of McCord’s actions: “This was a carefully calculated scheme by which the defendant defrauded local banks, Fannie Mae, homeowners, and others. This sentence should serve as a stern reminder that fraudsters will be held accountable.”

The grand jury indicted McCord on 24 counts back in June 2020, with charges including bank fraud, money laundering, and making false statements to financial institutions. McCord’s fraudulent activities involved selling loans “out of trust” and diverting escrow monies meant for homeowners’ taxes and insurance premiums.

McCord pleaded guilty to five counts in May 2021, admitting to defrauding Spirit Bank and Citizens State Bank, as well as their mortgage subsidiaries. An independent audit revealed that McCord had siphoned over $14 million from these institutions.

The Honorable Robin J. Cauthron determined that McCord’s actions caused a total loss of more than $95 million to local banks, financial institutions, and borrower homeowners. McCord is now ordered to pay $51,861,806.40 in restitution to the victims.

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