Man indicted for fraudulently flipping homes in Cuyahoga County, other states

CLEVELAND - The Cuyahoga County Prosecutor's Office said the head of a phony financial corporation has been indicted for illegally "flipping" 235 homes in Cuyahoga County.

According to the indictment, Blaine Murphy of Naples, Fla., has been charged for fraudulently flipping houses by filing forged deeds.

Prosecutors said Murphy used various names such as Bryce Peters III and Martin J. Franks, along with a fake company, Bryce Peters Financial Corporation Inc., to complete the transactions.

“His company was a fraud," said Maria Russo, spokeswoman at the prosecutor's office. “He did not have a company. He handled the entire company. He did everything out of his house."

At an afternoon news conference, Cuyahoga County Prosecutor William Mason said Murphy was arrested last Friday at his Florida home and is in the process of being extradited back to Ohio. Mason called Murphy a key participant in a nationwide enterprise.

"Murphy and his companies were indicted on a total of 16 charges of engaging in a pattern of corrupt activity, possessing criminal tools, money laundering and tampering with records," said Mason. "He faces a maximum sentence of 66 years incarceration."

Mason said of the 235 homes acquired by Murphy in Cuyahoga County, 186 were located in the city of Cleveland. The prosecutor said 96 of the properties fell into tax foreclosure -- for a total delinquency of $1 million.

The indictment includes properties located in 14 other counties in Ohio. Prosecutors said Murphy's activities also extended to real estate in Michigan, Pennsylvania, Missouri and Texas.