Man sentenced to probation in Detroit mortgage fraud case

Michigan Attorney General Bill Schuette on Wednesday announced that Tyrone DeShazer Jr., 54 of Detroit, has been sentenced to four years of probation after pleading no contest to one felony count of Larceny by Conversion $1,000 or more but less than $20,000, regarding a promised short sale of the victim’s home.

DeShazer is also required to pay $6,900 in restitution and cannot work in real estate during the length of his probation.

“This man used his business to intentionally mislead an individual who lost her home as a direct result of his actions,” said Schuette. “Today’s sentence brings this case to a close and while it will not bring the house that was lost back, I hope the restitution will help provide a fresh start.”

DeShazer was originally charged in August 2017 with one felony count of Larceny by Conversion $1,000 or more but less than $20,000 and one misdemeanor count of Interfering with a Police Investigation.

DeShazer was sentenced on Wednesday, March 14, before Wayne County Circuit Court Judge Shannon Walker in Detroit.

In 2012, the victim decided she wanted to sell her home in Detroit through a short sale. A neighbor recommended that the victim use DeShazer and his company, Mitoshe Realty Group. The individual was current on all her mortgage payments at the time she contacted DeShazer.

The victim initially paid $1,000 to DeShazer as “earnest money,” and signed an authorization for DeShazer to seek approval for a short sale from the bank on her behalf. It was at this time that DeShazer told the victim to stop making her monthly mortgage payments and to save her money to fix up the house. DeShazer told her that the entire process would take less than six months, and that the bank had agreed to the short sale of her home for $6,100.

She then gave DeShazer another check for $5,900 to put into escrow to complete the sale.  The short sale was to be completed on behalf of the victim’s daughter. Soon after paying Deshazer the $5,900, the victim began receiving letters in the mail stating that her house was being foreclosed on, and that a sheriff’s sale was scheduled. Each time she received a letter, the victim contacted DeShazer with concern, but DeShazer allegedly told her that it was “normal.”

In November of 2014, the victim was forced to leave her house. DeShazer offered to repay the victim $500, and to continue making payments after that if the victim would drop all charges. On March 27, 2015, the victim filed a police report with the Detroit Police Department, as well as a complaint with LARA.

The Department of Attorney General’s Corporate Oversight Division became involved in the investigation beginning in 2014 and conducted interviews in January of 2016.