Two New York men pleaded guilty in U.S. District Court in Bangor Wednesday to defrauding Maine banks of $542,200 in mortgage loans to buy houses for illegal marijuana cultivation.
Tony Liang, 37, of Brooklyn, orchestrated a conspiracy to obtain residential mortgage loans from two Maine banks for properties in Bucksport, Eddington and Canaan, according to a press release from Assistant U.S. Attorney Andrew K. Lizotte.
Liang submitted fake documentation and misrepresented that the properties would be used as residences.
Yongliang Deng, 35, of Queens, allowed Liang to use his personal information to obtain a mortgage for the Eddington property, falsely claiming he would live there as his primary residence, Lizotte said.
The scheme was uncovered after a house fire at the Bucksport property in February 2022. The State Fire Marshal’s Office discovered marijuana grow equipment, plants and chemicals in the burned house.
Both men face up to 30 years in prison and $1 million fines for mortgage fraud conspiracy. Liang faces additional charges for maintaining a marijuana-involved premises, Lizotte said.