Two Northern Virginia men have been indicted on fraud and conspiracy charges after federal prosecutors say they launched bogus law firms falsely promising to help homeowners avoid foreclosure and instead pocketed fees for their personal benefit.
In an indictment unsealed Wednesday, David Maresca, 48, of Manassas, Virginia, and Terrylle Blackstone, 35, of Woodbridge, Virginia, are charged with conspiracy to commit wire fraud and mail fraud.
Also indicted in the case are Scott Marinelli, 51, of Mountainside, New Jersey, Sam Babbs, III, 41, of Orlando, Florida.
The U.S. Attorney’s Office for D.C. said Maresca formed Synergy Law in D.C. in 2016 and Themis Law in 2019. The two firms were advertised through phone, TV and online ads promising homeowners that attorneys could help them avoid foreclosure.
The defendants operated call centers, where workers used scripts falsely promising that cases would be reviewed and assigned a legal team to negotiate a resolution.
“Synergy Law and Themis Law never operated a ‘national law firm,’ and never provided legal services to homeowners,” the prosecutor’s office said in a news release.
The Justice Department said clients were charged an initial retainer fee, often between $995 and $1,750, and then a recurring monthly fee, often between $595 and $1,200, but legal services were never provided.
When clients faced imminent foreclosure, Synergy Law directed clients to file for bankruptcy.
Clients were also advised not to disclose they had worked with Synergy Law to prepare their bankruptcy petition. Themis Law clients in similar situations were referred to Babbs’ personal law firm where they had to sign a new retainer agreement and pay additional fees.
Blackstone is accused of making false statements at court hearings regarding Synergy Law’s practices.
All told, prosecutors said the scheme generated $15 million.
Maresca is also being charged with five counts of monetary transactions in criminally-derived property, and two counts of falsification of bankruptcy records. He is accused of using over $315,000 dollars in funds from Synergy Law to purchase his personal residence.
Maresca was arrested Wednesday and made his first court appearance in the District.
The indictment also includes a notice that the government intends to seize all illegal proceeds.
