MIAMI -- Only NBC 6 was there when the newly formed Miami-Dade Mortgage Fraud Task Force went into action making its first arrests.

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Police took into custody 11 suspects for allegedly running scams during real estate transactions.

"Dade and Broward are No. 1 in Florida for mortgage fraud," Sgt. Richard Davis said.

"They artificially inflated the value of the property and they borrowed money against that inflated value," Davis said about those taken into custody.

An NBC 6 investigation found mortgage fraud growing rapidly, especially in pricey neighborhoods like Coral Gables, Pinecrest and Gables By The Sea.

Mayor Carlos Alvarez said that mortgage fraud affects all South Florida resident property taxes and anyone who legitimately wants to buy a home. He formed the task force as reports of mortgage fraud began to rise.

A potential victim, who asked to be referred to as "Pete," told NBC 6 he was asking for $250,000 for his Miami Beach condo.

He was alarmed when he was offered $350,000 instead from a real estate agent.

The buyer, Nester Camacho, allegedly wanted the additional $100,000 back.

Pete alerted authorities. Police said Camacho, who is also a Realtor, conspired to defraud the bank on Pete's sale.

However, the attorney for Camacho said he was an inexperienced Realtor who allowed the mortgage broker and closing attorney to handle the paperwork.

When asked if the bank knew this was taking place, Sgt. Davis replied, "No."

The other suspects arrested included the closing attorney, David Rodriguez; his secretary, Monica Zulauga; and mortgage broker, Jose Delgado, who police said fled to Colombia.

All of the above allegedly participated in the scam and were charged with grand theft and organized fraud.

Attorney Frank Quintero represented Rodriguez and Zulauga when they turned themselves in.

"If any fraudulent information was transmitted to the bank, it would have been sent by the buyer, the broker or even the seller in this case," Quintero said.

On Friday, the mayor will give more specifics on how the Mortgage Task Force will work.

To find out more about mortgage fraud and protecting your family from it, check out the links below.

Related Links:

National Notary Association

Florida Association of Realtors

Mortgage Bankers Association

Mortgage Asset Research Institute

Mortgage Fraud Watchlist