Whistleblowers Ask Senator Chuck Grassley and U.S. Justice Department to Launch Congressional Investigations Into the Illegal Acquisition and Federal Funding of the Historic Winecoff Hotel In Atlanta Georgia

WASHINGTON, May 14 /PRNewswire-USNewswire/ -- In letters to Senator Chuck Grassley andthe United States Justice Department the International Association of Whistleblowers (IAW) has asked federal agencies to launch a full scale congressional investigation into the illegal acquisition and fraudulent federal funding of the Historic Winecoff Hotel inAtlanta, Georgia. Whistleblowers cite corporate fraud for the recent sub-prime mortgage and securities market collapses resulting in billions (if not trillions) of dollars in financial losses to the general public.

During the week long assembly of whistleblowers, Michael McCray and James Murtaugh, Co-chairs of the International Association of Whistleblowers (IAW) have sought a congressional investigation of the actual ownership of the historic hotel, and nearly $30 million of federal funds on behalf of American taxpayers and Dillard-Winecoff, an African-American development company, which is the rightful owner of the historic property. The IAW has also sought a criminal civil rights investigation by the U.S. Justice Department due to allegations of racism and bias by theAtlanta Police Department in their refusal to investigate mortgage fraud complaints by minority borrowers.

The subject property is the Winecoff Hotel inAtlanta, Georgia. Unfortunately,Dillard fell victim to Georgia's mortgage fraud epidemic by InterBank Funding an unlicensedNew York investment company in a sub-prime mortgage fraud scheme. The purported owners are Kelco/FB Winecoff, whichDillard alleges is a co-conspirator with InterBank Funding & Brokerage Services and "straw purchaser" of the Winecoff Hotel. A similar hotel fraud occurred inNew York City last year, when aBrooklyn man was arrested after trying to stealNew York City's SoHo Grand Hotel by filing a fraudulent deed to transfer ownership of the $76 million establishment to himself. The only difference between the cases is that the Winecoff Case involves nearly $30 million dollars of federal funding, alsoNew York authorities investigated the SoHo case, whereasGeorgia has refused all local law enforcement requests.

In this timely workshop, the Congress Against Racism and Corruption in Law Enforcement (CARCLE) and the National Judicial Conduct and Disability Law Project (NJCDLP) have joined forces with other grassroots consumer advocacy groups and initiated a national Predatory Lending and Mortgage Fraud Taskforce. The Winecoff Mortgage Fraud Case is cited as a prime example of this national epidemic. "This travesty of justice and perpetuation of fraud, which is being supported by taxpayer dollars and theCity of Atlanta must stop," states Chief Deputy Marshal Matthew Fogg (INA) and President of CARCLE. "Today, we call on the Federal government and the African-American community to voice their outrage over this criminal theft which could be the worst case of federally funded mortgage fraud I've seen in my 25 year history in law enforcement."

SOURCE International Association of Whistleblowers

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Tags: Banking and Finance, Legal, Law and Lawyers, National, Politics, Republicans and Democrats, district of columbia, georgia

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