A Maryland federal judge has imposed a sentence of more than four years for a former Virginia settlement attorney convicted of helping to obtain business loans based on false loan qualifications.
The sentencing for Seung E. Oh, 44, of Great Falls comes with court ordered payments of more than $15 million.
Tuesday’s hearing was only the first of two scheduled criminal sentencings for Oh.
The woman, also known as Sandy Oh and Seung Oh Kang, admitted taking part in a fraud scheme said to involve more than $100 million in losses for the federal Small Business Administration, which guaranteed the loans.
U.S. District Judge William D. Quarles Jr. Sentenced Oh to 51 months in prison, followed by three years of supervised release.
Quarles also ordered that Oh pay a money judgment of $11,832,000, pay restitution of $3,593,432, and forfeit all the property involved in the offense, according to a release from the U.S. attorney’s office.
Oh ran the Washington Settlement Group from an office in Annandale. Oh agreed to use her settlement company and law firm to facilitate loan closings for deals that would otherwise fail to meet the lending parameters of the banks making the loans, according to federal authorities.
The leader of the loan scheme, Joon Park, 43, of Falls Church, pleaded guilty and was sentenced to 188 months in prison. Quarles also ordered Park to pay a money judgment of nearly $91.5 million and forfeit all the property involved in the offense.
Besides taking part in the small business loan scheme, Oh admitted helping to misappropriate millions in real estate loan money with another group of co-defendants.
“I lost my moral compass,” Oh told Quarles, according to an account of the sentencing in The Washington Post.
Oh faces sentencing for her real estate fraud convictions in August in a Virginia federal court.
She consented to revocation of her Virginia law license on June 24.