A California man is facing federal fraud charges after prosecutors say he ran a mortgage modification business that took millions of dollars in fees from struggling homeowners, many of whom ended up losing their homes anyway. His name is Armando Solis Barron, and he’s 63, from La Habra Heights, California. He’s also known by the alias “Solomon.”
Barron was indicted alongside Dominic Ahiga, 56, of Los Angeles, who went by the aliases “Michael Grinnell” and “Josh Weinstein.” Both men were previously arrested in the Central District of California and are expected to appear before U.S. Magistrate Judge Andrew E. Krause in the Southern District of New York.
What They’re Accused Of
According to the U.S. Attorney’s Office for the Southern District of New York, Barron and Ahiga are charged with wire fraud and conspiracy to commit wire fraud. Prosecutors say the two ran a scheme to defraud clients of their mortgage modification business, pulling in more than $15 million in fees. The indictment covers conduct going back to at least June 2018, running through at least September 2022, a stretch of more than four years.
The way it allegedly worked was pretty straightforward on the surface. Homeowners who’d fallen behind on their mortgage payments would come to Barron and Ahiga’s business looking for help. They’d be charged monthly fees and led to believe that a big chunk of their past-due balance would eventually get forgiven or reduced.
Except, according to prosecutors, that’s not really what happened. Instead, a number of these customers ended up in foreclosure anyway, after having already paid substantial fees along the way.
Not Their First Legal Trouble
This isn’t the first time Barron and Ahiga have faced consequences over this same conduct. Back in February 2024, a federal court found both of them liable for approximately $19 million in combined penalties and restitution in a separate civil enforcement action. That case, brought by regulators including the FTC and the California Department of Financial Protection and Innovation, reportedly involved allegations that the scheme affected more than 3,000 people nationwide, with many of the victims described as elderly or veterans.
So this new criminal indictment is really a second round of legal action tied to the same underlying business practices.
Officials React
U.S. Attorney Jamie McDonald said the office is committed to rooting out fraud in all its forms and pursuing cases that target vulnerable victims. She said Barron and Ahiga preyed on financially struggling homeowners by charging them fees while leading them to believe their debt would largely be forgiven, a pattern that ultimately pushed some of those customers’ homes into foreclosure.
FBI Assistant Director in Charge James C. Barnacle Jr. put it plainly too, saying the scheme hurt hundreds of vulnerable people financially, and that the bureau plans to keep prioritizing complex financial fraud investigations like this one.
Where the Case Stands
Both defendants are set to be arraigned on the indictment. Everything here is still an allegation at this stage, and both men are presumed innocent unless the government proves its case in court. Given the size of the alleged scheme and the civil judgment that already came before it, this is likely to be a case worth watching as it moves through the federal court system.