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Where will greed get you?
Jon Helgason and Thomas Balko Victims Site
Helgason ~ Balko
Where will greed get you?
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- Victim T
- We are victims of the Helgasons and Balkos. We are determined to legally fight both of them for as long as it takes.
38 comments:
The two men behind one of the Twin Cities' largest real estate fraud cases must pay restitution of $11.7 million, U.S. District Court Judge Joan Ericksen ordered today.
The amount was agreed to by assistant U.S. Attorney Joe Dixon and defense lawyers for Jonathan Helgason and Thomas Balko. The pair, who were sentenced in April to eight and seven years respectively, are in prison and did not attend the 5-minute court session in Minneapolis. Together and through their company, the two will be responsible for paying the millions.
Helgason, 46, of Chisago City, and Balko, 38, of Rogers, pleaded guilty a year ago to fraud in a three-year scheme that the government said involved $35 million in mortgages on 162 properties, helping to make north Minneapolis the epicenter of foreclosures in the state. The men gained $14 million in the resale of houses, prosecutors said.
The men co-owned Roseville-based TJ Waconia. They bought and then resold houses for inflated prices to straw-buyer investors, mostly in north Minneapolis.
Dixon described the men's trail of transactions as "an enormous disaster" that shifted risk onto new home buyers in Ponzi-esque fashion. Because the rents from the properties covered only half of what Helgason and Balko were obliged to pay investors, the scheme couldn't succeed without a dramatic rise in housing prices, Dixon said.
At sentencing, the two apologized, but Ericksen said she rejected the defense lawyers' argument that the losses could be blamed on the collapsed housing market.
Helgason got a longer sentence because he holds a state real estate license that put him in a position of public trust. The judge told him at sentencing she wasn't satisfied that he's been forthcoming on disclosing his finances or fully taken responsibility.
Both men, who claimed to be broke at sentencing, are at the federal prison camp in Duluth.
Rochelle Olson • 612-673-1747
Judge orders mortgage scammers to pay back $11.7 million, but they're broke and in prison, laywers say
But two mortgage scammers are in prison and broke
By David Hanners
dhanners@pioneerpress.com
Updated: 08/12/2009 12:16:38 AM CDT
A federal judge Tuesday ordered two convicted Twin Cities mortgage scammers and their former company to pay nearly $11.7 million in restitution to their victims.
The chance they'll pay even a fraction of that? Next to nothing, said lawyers for both sides.
Jonathan Edward Helgason and Thomas Joseph Balko are both in prison and broke. The real estate that had been bought by their Roseville-based company, TJ Waconia, has been either foreclosed or sold by court-appointed receivers.
Still, the hefty restitution ordered by U.S. District Judge Joan Ericksen sends the message that "crime does not pay," said Assistant U.S. Attorney Joseph Dixon III, who prosecuted the case.
"The obvious reality is that if they don't have the money and don't come by the money, we will never get paid," Dixon said. "But what's important is that people who commit fraud should know that there's no gain because they will be held accountable for the losses they've caused."
Helgason, 46, of Chisago City, and Balko, 38, of Rogers, were sentenced in April after each had pleaded guilty to a single count of mortgage fraud. Helgason is serving an eight-year sentence, and Balko is serving a seven-year sentence; both are at the federal prison camp in Duluth.
From 2004 to 2007, the two men and companies they set up bought 162 properties, most of them in North Minneapolis. They would buy the properties, then quickly turn around and resell them — for up to $60,000 more — to "investors,"
people who let Helgason and Balko use their credit to get loans.
The investors owned the property in name only. The companies Helgason and Balko owned still made the payments. In all, federal investigators believed the two men got $35 million in fraudulent loans through the scheme.
When the housing market collapsed, so did their scheme.
The "investors" were left "owning properties purchased with mortgages that exceeded the market value of the property," the government claimed in a filing before the men were sentenced. "As a result of the collapsing scheme, the communities in which the properties were concentrated suffered blight and a real estate market collapse, affecting the municipalities and nearby homeowners."
Twenty-four victims put in claims for restitution, and officials determined that 92 percent of what they had asked for was eligible for compensation. It amounted to $11,692,962.08.
"What happens in these kinds of cases, there's a restitution order, and then the defendants have a payment plan to make payments," Dixon said.
No payment plan has been set up. In a court filing in May, Helgason pleaded poverty in asking the court to pay for a lawyer to appeal his sentence (he has since withdrawn the appeal) and said his family's only income was his wife's $105,000-a-year salary.
The two men can earn money working in prison. Kevin Gregorius, an attorney with Steven Meshbesher, who represented Helgason, said the court could set up a plan where "they're making $50 payments each month for the rest of their lives."
If they were set up on such a plan, it would take more than 9,700 years to pay off the sum.
William Skolnick, an attorney who represented TJ Waconia in the criminal case, said the company has nothing to contribute toward restitution.
"What assets are there for restitution?" he asked. "TJ Waconia is out of business. Some of the properties have been foreclosed or sold by the court-appointed receiver."
105,000 is the new poverty level??? And how big is your house?
"No payment plan has been set up. In a court filing in May, Helgason pleaded "POVERTY" in asking the court to pay for a lawyer to appeal his sentence (he has since withdrawn the appeal) and said his family's ONLY income was his wife's $105,000-a-year salary."
I guess when you are used to living the easy life off other peoples hard earned money, it is tough to just settle on a 100K a year...poor Amy.
Wow. Quiet. Too quiet. Funny how an $11.7 million dollar order of restitution makes for an all-too-silent "peanut gallery."
(from a previous post)
JONATHAN HELGASON is currently incarcerated at FPC Duluth and is scheduled for release on May 15, 2016. The inmate is NOT eligible for parole. Please be assured that, unless otherwise requested, we will keep you informed of all significant release-related activities pertaining to this inmate during the period of incarceration.
THOMAS BALKO is currently incarcerated at FPC Duluth and is scheduled for release on July 2, 2015. The inmate is NOT eligible for parole. Please be assured that, unless otherwise requested, we will keep you informed of all significant release-related activities pertaining to this inmate during the period of incarceration.
(any questions?)
With the fraud and financial damage Jon Helgason caused, he and his family have been able to keep their house at 30686 Wallmark Lake Dr, Chisago Lake.
It's tax records are listed as KCH Holdings LLC. A search on this title shows a previous listing on the Sec. of State filings for the State of MN for Kch Holdings at the address of 3101 Old Highway 8 -- yep, that's TJ Waconia.
Nice to know they haven't had to change their address! Unbelievable.
They probably did not disclose that to the judge possibly?
I had heard they lost it and where renting it back from the bank?
Anyone know?
This is really interesting and the Johnny Northside blog is taking note of this development.
It is quiet because prisoners do not have access to the internet. Therefore they cannot come on here and defends themselves with multiple alias's
Inquiring minds wonder... What difference does it make?
T & J do not live in them now. Are people suggesting that no one associated with or related to them should be allowed to reside there regardless of whether or not they pay the mortgage or rent themselves?
Really... What difference does any of this make?
It does not make a difference, only problem I see here is that some people do not have lives. Time to get one losers!
I wonder if "Anti-Johnny" or the other treasure troll have gone and visited Helg and/or Balk since their lives came to a screeching halt. I hear the drive to fed-pen is beautiful this time of year...
Do you think they have adjusted to prison life yet?
Maybe now they have finally realized what they did to so many people...but I doubt it. They probably think it was just the market. Maybe that is why they are in prison for so long, they refused to take responsibility.
"Maybe that is why they are in prison for so long, they refused to take responsibility."
OMG! Are you fucking kidding me??? Who are you to speculate as to whether or not someone has taken responsibility or not? They went to prison. Period. Is your life that drab that you have to offer up your baseless opinions on yesterdays news?
Many of their "friends" are still suffering from what they did. So unfortunately for them , it is not yesterdays news.
They are still living the pain.
Been finding this website very interesting, you might as well.
http://www.misadventuresofjohnnynorthside.blogspot.com/
Owner: GREGORY EVENSON
Taxpayer: GREGORY EVENSON
14140 46TH PLACE
PLYMOUTH MN 55446
http://www.mortgageelite.com/ContactUs
Greg Evenson is the president. Go figure.
How To Contact Us
By Phone: 763-746-HOME (4663) (Office)
By Fax: 763-557-9627 (Fax)
By e-mail: myloan@mortgageelite.com
Address: Mortgage Elite, Inc
3001 Harbor Lane North, Suite 168,
Plymouth, MN 55447-5102
I just called the main number and asked for him and he was out of the office. This is where he works. He owns the property here on Fremont and obviously a lot more.
I just did a Whitepages.com search and this guy owns tons of properties on the North Side. How is this happening again?
OH MY GOSH!!!
QUICK... CALL Don Samuels and Barb Johnson! Send in the inspectors and file a civil suit!
Note to City Council: Be sure and have the titles properly researched.
Dear Site Owner,
I would like to say that your blog is well-written and it contains lots of useful and up-to-date information. We really got interested in your web resource and we would like to cooperate with you. My websites are devoted on various financial themes and the have got amazing traffic and Google Values.
My sites contains loads of useful financial information presented in news and articles that highlight the most much-talked-of issues such as credit cards, debt solutions, financial crisis, ways out of it, and many more. We believe this information can awake interest in your readers and can help you gain more and more traffics well. We would like to do some link exchange with your sites. If you agree then please let me know as per your convenience: dorothy786@gmail.com
We thank in you in advance for your cooperation.
Best regards,
Dorothy Parker
'Ol Vicki-T has been busy for months now while she has continued her crusade to stop our blog honoree's and make sure everyone knows what a danger they really are.
So, Dorothy I don't think VicT will need your BS services, ya fraud! lol
Helgy and Balko.
How was your first Holiday in prison. I hope all the money was worth it.
Here is a link to the PDF of the "consent order" signed by Jon Helgason to lose his professional license.
http://www.mortgagefraud.org/storage/minn%20-%20helgason.pdf
Here. Read this story and ask yourself why this lake home isn't sold off to pay off the damages to the victims?
http://adventuresofjohnnynorthside.blogspot.com/2009/12/jns-blog-exclusive-while-tj-waconia.html
If you like that story, you will like this one, too.
http://adventuresofjohnnynorthside.blogspot.com/2009/12/jns-blog-exclusive-while-tj-waconia.html
For a fun read in response to John Hoff's journal-jistic masterpieces of shit, have a look at the Mis-Adventures of Johnny Northside!
The replies will be posted soon but, in the meantime, enjoy reading about all the stupid, petty crap the dumpster diver has done over the years!
Isn't the Internet great? All this public information about John Hoff for the world to see... Forever!
Nice place she has.
Happy New Year to all the people who still believe in Tom and John. Have you visited them in the pokey?
Here's Balko's prisoner ID number, very useful.
THOMAS JOSEPH BALKO 13911-041 39-White-M 07-02-2015 DULUTH FPC
Same for Helgason
Name Register # Age-Race-Sex Release Date
Location
1. JONATHAN EDWARD HELGASON 13912-041 47-White-M 05-15-2016 DULUTH FPC
Just in case anybody needed to write him a letter.
INMATE NAME & REGISTER NUMBER
FPC DULUTH
FEDERAL PRISON CAMP
P.O. BOX 1000
DULUTH, MN 55814
It appears that if somebody wanted to write to the parole board about "Tom and Jon," this is the place to begin:
U.S. Parole Commission 5550 Friendship Boulevard, Suite 420 Chevy Chase, MD 20815-7286.
I'm guessing it would be best to reference them by their inmate numbers, since they're just two pieces of well-chewed meat in a very big and impersonal machine.
Is anyone going to celebrate Tom and Jon's first year behind bars?
'Ol Johnny Northside has had a restraining order slapped on him!
I am not worried about John Hoff writing letters to anyone because, he doesn't have the money to buy a stamp!
Have a look at all the shit he has been up to...
http://www.mplsmirror.com/mpls/index.php?option=com_content&view=article&id=610:new-sheriff-in-town-helps-media-turn-a-zero-into-a-hero&catid=34:local-news&Itemid=103
You don't really bother to check the truth when you say things, do you, Jim? There is no truth to "restraining order slapped on (me)." There is not and never was a restraining order.
Of course, Jim hangs out with people who lie--and who went to prison for lying--so why should I be surprised when Jim says things that aren't true?
I don't know why I am bothering to respond to John on here since no one reads this blog anymore but...
I am posting the link to the article which has a PDF copy of the restraining order that was signed by a JUDGE against John Willard Hoff.
http://www.mplsmirror.com/mpls/index.php?option=com_content&view=article&id=610:new-sheriff-in-town-helps-media-turn-a-zero-into-a-hero&catid=34:local-news&Itemid=103
Are you on drugs or something John? You must be for you to deny the restraining order when it is online for the world to see. Yes, signed by a judge and stamped by the court clerk.
Has Tina heard about this yet?
Jag Off!
Anybody can go to court and file something, but that doesn't mean it ever took effect or was ruled justified. That's the case here. The matter being referenced by Jim was never even SERVED.
And Jim knows that, but he's not exactly committed to being truthful.
Jim's friends sit in a federal prison and yet here's Jim, their former business manager, the self-declared "best friend" of Thomas Balko, out in a very public way being a pain in the ass on their behalf up to, and including, sending harassing text messages at all hours of the night.
I would urge anybody involved in this blog or victimized by the TJ Waconia scandal who has been FURTHER victimized by Jim Watkins--such as receiving harassing text messages at all hours--to write to the prison system where his friends are staying. After all, Jim's doing it because of them, and I can't see how they can be innocent of that knowledge.
Also, if anybody has a copy of a video I've heard about called "Jim's Big Day," if such a video actually exists...I am interested in obtaining a copy for documentation purposes.
It's no secret how to contact me.
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