President of Tampa mortgage company pleads guilty to fraud

The former president of GreatStone Mortgage and his wife, an officer in the now-defunct company, pleaded guilty this morning to fraud charges in connection with a $79 million Ponzi scheme run out of the Tampa-based company.

Corey and Sandi Brower, who live in Voorhees, N.J., admitted participating in the scheme that defrauded other financial institutions of an estimated $68.5 million and the federal government of $9.5 million between 1999 and 2001.

Corey Brower, 40, faces a maximum of 15 years in prison and Sandi Brower, 46, faces up to 12 years under the terms of plea agreements. The deals likely will result in reduced sentences, partly because of the couple's cooperation with investigators.

As part of his cooperation, Corey Brower "wore a wire," said Assistant U.S. Attorney Robert Mosakowski.

Corey Brower's former lawyer, Richard Dotypleaded guilty in 2005 to being an accessory after the fact and was sentenced to 15 months in federal prison. He admitted helping the Browers flee the country in 2007 to avoid prosecution.

The Browers returned to the U.S. shortly before Doty was arrested, Mosakowski said. Corey Brower wore the recording device to gather evidence against Doty.

The Browers fled to Belize after it became apparent that their scheme was about to be discovered.

GreatStone's former general manager, William Jones, pleaded guilty in 2004 to federal fraud charges for his involvement in the scheme. He was sentenced to nine years in federal prison.

GreatStone surrendered its license to do business in Florida in 2003 when the troubled company didn't want state auditors to review its books, accounts and records. The company headquarters were in a shopping center at 3627 W. Waters Ave.

According to court documents, in late 1998 or early 1999, GreatStone was having cash flow and other financial difficulties. The defendants and other GreatStone officers and employees devised a scheme to ease those problems by defrauding the U.S. Department of Housing and Urban Development and several financial institutions.

According to Mosakowski, the investigation continues. He said he expects more prosecutions, but could not give a timeline or any information about who may be targeted.