Man Pleads Guilty In Realty Scheme Case Involved Purchase Of At Least Five Homes And More Than $266,000

The pivotal man in a real estate investment scam pleaded guilty Monday to three crimes in connection with the scheme, which cost local homeowners at least $266,000.

Tony Napier faces a year in prison in return for “Alford” pleas to charges of first- and third-degree theft, and engaging in a pattern of equity skimming.

In Alford pleas, the defendant does not admit guilt, but concedes that authorities have enough information to win a trial conviction.

Napier appeared in Spokane County Superior Court Monday morning, 16 months after he was charged with multiple counts of equity skimming and theft. His wife, Alicia, also was charged.

According to original complaints filed against the couple, one or the other would buy a home using short-term financing from the owner.

The Napiers then would take out a larger loan against the property through another lender, usually Inland Acceptance L.P. Interest rates ran as high as 45 percent per year.

When they defaulted on one or both loans, the former owners would be notified of a pending foreclosure. And Inland stood to recover whatever equity was in the property.

The scam, with minor variations, was repeated at least five times in 1995. More than $266,000 was involved, the complaint states.

One couple, Jim and Linda Wright, sued the Napiers and Inland in 1996, and forced Inland to buy the home.

Other victims will receive restitution from Napier as part of his plea agreement.

Napier, 37, responded in monosyllables as Judge Sam Cozza reviewed the terms of a deal he signed earlier this month with Spokane County Deputy Prosecuting Attorney Anthony Golik.

In addition to his Alford pleas, he will cooperate with the Washington Attorney General’s Office in an investigation of Spokane Dr. Julian Bindler, who was not named in the original complaint or in a civil complaint filed simultaneously by the state.

Golik said Bindler funded the loans from Inland Acceptance, which was named in the civil complaint. If Bindler is ordered to pay restitution, the amount due from Napier would be reduced.

Assistant Attorney General Owen Clarke Jr., who filed the civil complaint, was not available for comment Monday.

In addition to the one year in jail agreed to by Golik and defense attorney Tom Krzyminski, Napier will serve a one-year suspended sentence.

Forgery and theft charges filed against Napier in 1996, then dismissed, will not be refiled.

Charges against Alicia Napier will be dismissed.

Cozza reminded Napier he could reject the terms of the agreement at the sentencing hearing on Aug. 21.