Prison for 2 in mortgage fraud

GRAND RAPIDS, Mich. (WOOD) - Two men will spend up to 20 years in prison for mortgage fraud, while a third man wanted in the case remains on the lam and is thought to be out of the country.

Damon Clark was sentenced to between 15 months - 20 years, and Reginald Tardy will spend between 18 months - 20 years behind bars, and each will have to make restitution of more than $130,000.

Prosecutors said Clark and Tardy, plus Brian VanFarowe, ran a mortgage fraud scheme that targeted West Michigan.

Van Farowe is believed to have fled the United States and is not currently in custody.

The fraud traces back to home sales in 2005, investigators said, after Clark convinced a Grand Rapids woman, Aracelis Tejada, to buy some rental properties. Clark called it a "business opportunity," according to an affidavit in the case.

But when Clark filled out the loan paperwork for the woman, he lied, according to investigators.

The affidavit states Clark lied about Tejada's employment , her income and her rental history -- and claimed each of six houses was the woman's primary residence.