Kyle Pam, 28, was arraigned today on charges of larceny over $250 from an elderly person, perjury, embezzlement by a fiduciary and money laundering. Boston Municipal Court Judge Peter Coyne set bail at $10,000 and ordered him to stay away from the woman and her accounts, the Suffolk County District Attorney's office reports.
According to the DA's office, the woman, 68, and her brother inherited the house after their mother and siblings died. The woman continued to live in the house - although she had liens on the house for unpaid taxes and utility bills.
Pam allegedly approached the woman and offered to sell the home on her and her brother's behalf. The siblings agreed and the Probate Court appointed Pam personal representative of the estate in February.
In April, Pam petitioned the court to allow him to sell the Sanford Street property for $140,000. Pam recorded documents which gave the appearance this transfer for $140,000 had taken place, including Deeds from the estates to a woman which were based upon the court's approval. The investigation revealed that, despite Pam's claims that the woman was a stranger to him prior to the transaction, she was actually known to him and acted as a straw purchaser. After the property was fully transferred to the woman, she immediately sold it to a third individual for $232,000. Checks for the proceeds of the sale totaling $117,392.45 were endorsed directly to Kyle Pam, who deposited these funds into corporate bank account controlled solely by Pam. Pam went on to make several large withdrawals from the account and transferred additional funds to his personal account, prosecutors said.
Having left the elderly victim without her home and without proceeds from its sale, Pam dropped the woman off at the Pine Street Inn at the time of the closing.
Doherty told the court that evidence suggests Pam and the straw purchaser had already entered into an agreement to sell the home to the third individual for $232,000 at the time Pam represented to the court that he would sell the property for a mere $140,000. Bank records indicate that the third individual had obtained a bank check for a down payment on the property on March 31 – three weeks before Pam requested the bank's approval to sell the home for $140,000. The man who bought the property from the straw purchaser is not accused of wrongdoing in connection with the purchase.
Acting as personal representative, Pam in July filed documents with the Probate Court under the penalty of perjury reporting that the home was sold for $140,000, falsely stating that the proceeds had been distributed appropriately, and requesting that the estate be closed. However, prosecutors allege that Pam did not make payments to the victims and failed to disclose that he received a substantial profit from the May sale of the property.
The DA's office reports prosecutors and Boston Police managed to seize roughly $80,000 in Pam's accounts, after the woman and her brother went to Greater Boston Legal Services when they realized they'd been scammed.