Convicted Modesto swindler facing more fraud charges

Xue Heu, the mastermind behind a Modesto-based real estate investment scam, has been sentenced to more than five years in federal prison, but still faces trial in Stanislaus Superior Court on five unrelated felony fraud counts.

Heu’s plea deal with federal authorities resulted in a sentence of five years and three months, and requires that he pay $1.2 million in restitution to victims in Modesto, elsewhere in California and in Texas. While awaiting sentencing, however, he was arrested by local authorities and charged with bilking more victims; one said he contacted district attorney fraud investigators after reading about Heu on The Modesto Bee’s Facebook page.

Heu, 38, has been transferred from federal custody to Stanislaus County jail and awaits a preliminary hearing scheduled for Jan. 5.

Mark Steven Thompson, 37, of Oakdale created websites for Heu to lure investors and established email and bank accounts, according to Thompson’s plea bargain in San Antonio.

Heu and Thomas Dickey Price, 73, also of Modesto, pretended to represent government-sponsored Fannie Mae and Freddie Mac in selling distressed properties, sometimes using portfolios showing foreclosed homes to be purchased but that in reality already had been sold. They tried to cover their tracks with forged deeds and other phony documents, authorities say.

Heu posed as an officer of Liquid Assets & Land Investments Inc. and Capital Land Investments LLC and sometimes used the alias Michael Chan, while Price went by the names Albert Martin and Matt Taylor, court documents say.

Thompson and Price each were sentenced to 18 months in federal prison, and respectively were ordered to pay victims $903,563 and $686,233. With Heu, the three men are ordered to pay nearly $2.8 million in combined restitution.

This story was originally published November 11, 2015 at 3:48 PM with the headline "Convicted Modesto swindler facing more fraud charges."