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SCAM ALERT: Housing Hustle Ends With Three Banned From Business

Nearly four years after the initial cases were filed in a housing scheme, the Attorney General's office said three people have now been banned from the industry in our state and the case is closed.

The Department of Justice said in 2009, three companies and multiple individuals were luring customers with a promise of a $500 down payment for a manufactured home. However, those would-be home buyers soon found out they had been roped into a scam where they would pay out thousands for properties with inflated appraisals. That put the buyers in a tight spot: either paying thousands to get out of the contract or have an out-of-budget monthly mortgage.

In 2009, the Attorney General filed suits against three of the companies: Phoenix Housing Group, Inc., K&B Homebuilders, Inc., and W.R. Starkey Mortgage, LLP.

Only recently, there was a ruling for the final three individuals connected to the case.

The Attorney General's office said Ike Vinson is now banned from the mortgage businesses while Dennis Setzer and Yo Xey Her are banned from the manufactured and modular home business. All three are due to pay hefty civil penalties as well.

The Attorney General's office noted 165 customers were refunded nearly $4.3 million dollars.


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