A former top prosecutor for the city of Baltimore was convicted Tuesday on one count of mortgage fraud.
A federal jury convicted Marilyn Mosby, 44, on one count of mortgage fraud with a split verdict. The case, which concludes a lengthy criminal trial, found that Mosby lied on a mortgage application loan in February 2021. At the time, Mosby was serving as Baltimore City State's Attorney, per CBS News.
Evidence presented at trial found that Mosby, who was applying for a $428,400 mortgage to purchase a condominium in Florida, falsely stated that she received a $5,000 gift from her then-husband, Baltimore City Council President Nick Mosby, to be applied to the purchase of the property.
Prosecutors later said the money was not a gift from her husband. Instead, Mosby transferred $5,000 to her husband, and he then transferred the money back to her in an effort to secure a better interest rate.
A sentencing date has not yet been set. Mosby is expected to file for an appeal. She faces up to 30 years on charges related to mortgage fraud.
Mosby's Perjury Charges
Prior to Tuesday's conviction, a federal jury also convicted Mosby of two counts of perjury. Per the Washington Post, Mosby withdrew a total of $90,000 from her 457(b) retirement account. Typically, an individual withdrawing from a retirement account before the age of 58 ½ would be subject to a 10% early withdrawal penalty. However, Mosby claimed she was qualified for a waiver after her travel business had suffered from "adverse financial consequences" during the COVID-19 pandemic. She later used the funds from the retirement account to purchase two homes in Florida.
Federal prosecutors argued that Mosby could not have suffered a pandemic-related hardship as her business was not operational. It had no clients, no revenue, and no records showing it setting up trips.
In addition, prosecutors noted that Mosby failed to disclose her travel business on her 2020 financial disclosure forms, which she submitted when she was state's attorney. They also added that Mosby's spokeswoman claimed her travel business would not operate while she was in office, which means it could not be hit by the pandemic.
Mosby faces a maximum sentence of five years for each count of perjury.
