News Summary
The Arizona Attorney General Kris Mayes has filed a lawsuit against two individuals for allegedly running a multi-million-dollar scheme that exploited vulnerable senior homeowners in Phoenix. The defendants misrepresented themselves as legitimate professionals, deceiving many into transferring their property. With hundreds of victims expected, the lawsuit aims for restitution and civil penalties, while also highlighting the urgent need for protection against such fraudulent practices targeting elderly individuals.
Arizona – The Arizona Attorney General Kris Mayes has initiated a lawsuit against two individuals, Edward Trenton Albarracin and Gretchen Marie Zamjahn, for allegedly orchestrating a multi-million-dollar scheme aimed at swindling senior homeowners in the Phoenix Valley. The lawsuit accuses the defendants of exploiting vulnerable homeowners who were struggling to keep up with mortgage payments by misrepresenting themselves as professionals offering genuine assistance. Instead of providing help, they allegedly deceived homeowners into signing over their property to limited liability companies they controlled.
The nature of the allegations is serious, with claims that many elderly individuals have been victimized over a multi-year period. Attorney General Mayes characterized the defendants’ actions as “deception,” “exploitation,” and “immoral,” highlighting the severe impact on the lives of those they targeted. The Attorney General’s Office has indicated a belief that there may be hundreds of victims affected by this fraudulent endeavor.
Among those who have come forward is Scottsdale resident Susan Tepley-Lupo, who claims she was tricked into signing her home over to Albarracin and Zamjahn without her knowledge. Tepley-Lupo reports suffering a financial loss of $18,000 due to the scheme and is currently engaged in a struggle to regain the title of her property. Her situation exemplifies the harm done to those who are often most vulnerable.
The lawsuit also encompasses more than 50 business entities allegedly controlled by Albarracin and Zamjahn. Some of these businesses, such as “Hands of Hope,” are suspected of being named strategically to mislead homeowners, presenting an image of legitimate foreclosure assistance while they actually facilitated property theft. The defendants purportedly made false promises to aid homeowners with overdue mortgage payments while simultaneously convincing them to “temporarily” transfer ownership of their homes into trusts.
Albarracin is accused of having signed documents on behalf of various shell companies involved in this scheme, while Zamjahn is alleged to have notarized these transactions despite a blatant conflict of interest. These actions raise significant concerns about the ethical practices of the defendants and their intent to deceive seniors in dire financial straits.
In response to the allegations, Mayes emphasized that the scheme primarily targeted elderly individuals who might not fully understand the complexities of mortgage agreements or real estate transactions. This predatory behavior has drawn significant attention from law enforcement and advocacy groups dedicated to protecting seniors from financial exploitation.
The Attorney General’s Office has already taken steps to recover millions of dollars for other victims impacted by the actions of Albarracin and Zamjahn. As the defendants navigate these legal challenges, it has been reported that Zamjahn is cooperating with the authorities in an effort to mitigate her legal repercussions in the case. Current court supervision is in place over the properties, luxury vehicles, and bank accounts associated with the defendants, ensuring no further transfer of assets occurs while the lawsuit progresses.
The lawsuit seeks a range of remedies, including restitution for those who have suffered losses as a result of this scheme, civil penalties against the defendants, and a permanent injunction that would prohibit them from engaging in any real estate transactions within Arizona.
Those who believe they may have been affected by this fraudulent scheme are encouraged to reach out to the Arizona Attorney General’s Office for guidance and support. The case underscores the ongoing need for vigilance and informed advocacy to protect vulnerable members of the community from fraudulent activities.
Deeper Dive: News & Info About This Topic
- 12 News
- Wikipedia: Fraud
- KTAR News
- Google Search: real estate fraud Arizona
- AZ Central
- Google Scholar: predatory real estate scams
- AZ Family
- Encyclopedia Britannica: Mortgage
- KTAR News (Mobile Home Lawsuit)
- Google News: Arizona Attorney General Kris Mayes
Author: STAFF HERE PHOENIX WRITER
PHOENIX STAFF WRITER The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
