A former state representative admitted to a mortgage fraud scheme in court Monday.
In a press release, the Department of Justice says that Victor Cuevas, 52, of Bristol, waived his right to indictment and pleaded guilty to conspiring with others to commit bank fraud in a home mortgage loan scheme.
The charges stem from an incident that began in 2013 when Cuevas applied for a loan from the Federal Housing Administration Loan (FHA) to purchase a resident in Bristol. The FHA program various restrictions on the types of funds that can be used to purchase properties. According to court documents, Cuevas claimed he was using funds gifted to him by family to purchase the property.
U.S. & World
At the time, Cuevas was an employee of the City of Waterbury and the state representative for the 75th District. It was determined that the funds he used to purchase the Bristol property were actually a loan from another City of Waterbury employee, whom Cuevas repaid $7,000 after the mortgage closed.
Cuevas pleaded guilty to one count of conspiracy to commit bank fraud. He is scheduled for sentencing September 21, 2016. He resigned from the Connecticut General Assembly in March 2016.