Queens District Attorney Melinda Katz announced on July 8th that a grand jury has formally indicted 5 Chinese defendants and 3 companies, accusing them of orchestrating a mortgage fraud and identity theft scheme in the Flushing area. The defendants allegedly posed as legitimate homeowners in Flushing, using forged driver’s licenses and social security cards to successfully secure a cash-out refinance mortgage loan worth up to $688,000, leaving the actual homeowners burdened with unauthorized debt and causing significant losses to the lending institution.
According to the prosecution, a total of 26 charges have been filed in this case, including second-degree residential mortgage fraud, first-degree identity theft, document forgery, money laundering, second-degree grand larceny, possession of forged documents, and multiple other serious offenses. If convicted, the main defendants could face up to 15 years in prison.
Katz stated that the suspects allegedly stole the identities of a married couple to impersonate them during the mortgage transfer process, using fake IDs to secure the loan. This not only left the victims with a huge financial burden but also resulted in over $688,000 in losses for a lending institution in Queens. The prosecution intends to hold the individuals involved accountable and seek justice for the victims and the lending institution.
As per the indictment, the mastermind behind the fraudulent scheme is 56-year-old real estate broker Tony Wanyiu Cheng from Bayside. The other defendants include 46-year-old Chun Kong Lau from Staten Island, 45-year-old Gui Li and 59-year-old Qiang Li from Flushing, as well as an unidentified female accomplice referred to as Jane Doe.
The case dates back to November 2024 when Gui Li and an unknown female accomplice allegedly pretended to be the legitimate homeowners of a residence in Flushing during the mortgage closing, presenting forged Pennsylvania driver’s licenses and social security cards with the homeowners’ personal information. Cheng and Lau were also present at the scene.
After the closing, Cheng received two loan checks written in the name of the male homeowner. The following day, Lau and Qiang Li again posed as the male homeowner by using a forged Maryland driver’s license to open a joint account at a TD Bank branch in South Flushing, depositing the full amount of $688,403 in mortgage checks.
Investigations revealed that after the funds were deposited, some of the money was transferred to accounts controlled by Cheng’s three companies, including CB Direct Store Inc., YW Capital LLC, and MTR Development Co. LLC, before being redirected to his personal account. Cheng and his companies received over $269,000, while the remaining funds were channeled to other undisclosed bank accounts associated with the defendants. The involved accounts were closed in January 2025 after all the funds were withdrawn.
The case came to light when the legitimate homeowners discovered an unrequested mortgage in their name and reported it to the Queens District Attorney’s office.
Currently, Cheng, Lau, Qiang Li, and the three companies have appeared in court, with a return date set for July 29th as ordered by the judge. Gui Li and the unidentified female suspect remain at large. The prosecution urges anyone with information on their whereabouts to contact Detective Erin Currie at the Queens District Attorney’s office at 929-364-6660.
The prosecution emphasizes that the criminal indictment serves as accusations, and all defendants are presumed innocent until proven guilty in court.