MINNEAPOLIS — A Twin Cities house-flipper pleaded guilty Thursday to defrauding more than $3 million out of Minnesota homeowners.
Suzanne Griffiths, 46, is accused of executing a fraud scheme from 2018 through December 2020 where she promised individuals who invested in her house-flipping businesses that there would be repayment in return for up-front investments, according to court documents.
The Department of Justice (DOJ) said that Griffiths frequently misrepresented the status of house-flipping projects, falsified documents and “misappropriated investments for her own use.”
In total, the house flipper intentionally misappropriated at least $3,197,109.47 of investor funds, the DOJ said.
In November 2018, Griffiths solicited a $100,000 investment from a buyer who wanted renovations on a property. Griffiths’ business promised the investor, like many others, that the mortgage documents had been filed properly.
However, the investor lost their entire investment because Griffiths never actually filed the contract.
Instead, she wired the payment through interstate servers, according to U.S. Attorney Andrew M. Luger.
The scheme ended up being a housing “flop” as Griffiths pleaded guilty to one count of wire fraud and another to money laundering Thursday. A sentencing date has yet to been scheduled.
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