Mortgage fraudster faces prison for £650k theft

A solicitor, who has been accused of committing more than £650,000 worth of mortgage fraud, has been warned by a judge that he faces a prison sentence.

Benjamin Cornelius was alleged to have entered "fraudulent transactions" during the purchase of eight properties when he worked at Swansea-based law firm W. Parry & Co.

He has denied eight charges of fraud and eight of transferring criminal property.

According to the prosecutor, Cornelius had provided applicants "with funds to purchase the properties".

The prosecutor said: “This amounts to a conflict of interest. A solicitor cannot act when he has a personal interest and then act professionally in the related conveyancy procedures.”

The judge ruled that Cornelius had acted "dishonestly" by doing so.

The prosecutor told the court that Mortgage Express would do their own valuation of the properties in question and offer to lend 75% of the original valuation.

The court heard how he had access to funds via a mortgage "draw down facility” and by advancing cash from his business partner.

Cornelius maintained that while he accepted he had breached solicitors' regulations, he hadn’t realised this at the time of the offences.

Judge Morgan said that in "an act of mercy" he would allow Cornelius bail until his sentencing hearing tomorrow.