Mortgage Company Worker Pleads Guilty

A Minnesota man who stole the identities of hundreds of people while working for only six weeks at a mortgage company pleaded guilty in federal court and is awaiting sentencing.

The case of Jason Alan Tauer, 32, illustrates two points about identity theft:

•            It doesn’t take a skilled thief long to do serious damage.

•            There’s an awful lot of personal information on someone’s mortgage application.


As the Minneapolis Star Tribune reported, Tauer worked as a mortgage assistant for Ameriquest from March 15 through April 29, 2005. He pilfered the personal information of 93 applicants. He also stole mail and items from gym lockers of 208 more people.

A few months after Tauer left the company, money began disappearing from Ameriquest customers’ bank accounts, and charges began piling up on their credit card accounts. In June 2005 he used a fraudulently obtained credit card to charge more than $2,000 in purchases. In August 2005 he withdrew $3,000 from a Capitol One account. Later in the month he withdrew $6,500. Another fake credit card obtained through U.S. Bank was used to withdraw a total of $30,529.63 at ATMs throughout Minnesota.

Authorities finally caught up to him in December 2007. They searched his home and found the mortgage application files and other stolen items. But the thefts continued through April 2008, and in total he’s suspected of stealing more than $150,000 from accounts with eight banks.

The reports don’t say whether the company conducted a criminal background check on Tauer nor whether he had any prior criminal record.  Insider fraud is not a new crime, and this case highlights the importance of diligently screening employees who will have unfettered access to sensitive consumer data.  And the risks are amplified in a bad economic climate when would-be criminals could be stepping up their game, and consumers can least afford to become pawns.


Postal inspector Jeff Long says that most people wouldn’t consider that identity theft could happen as a result of a mortgage application or material sent through the mail, but he said consumers should check account activity frequently, according to the newspaper. Although Tauer used existing customer accounts to commit his alleged fraud, he also opened new accounts under their names.

Long’s advice is spot-on, but to that we add: the risk of new account fraud makes it crucial for you to check your credit reports regularly.  Consumers can check their credit reports for free three times each year – once with each of the three major credit-reporting agencies, Equifax, Experian and TransUnion – by going to www.annualcreditreport.com.  Fee-based credit-monitoring services can keep you more up-to-date on your credit report by alerting you every time a credit-issuer makes an inquiry into your report and when a new account is opened in your name.  In fact, your insurance company, bank or credit union, employer or other instutions you might be affiliated with may actually offer such services to you free of charge – ask them if they do, and if so, use them.  The sooner you detect identity fraud – be it with existing or new accounts – the better.