After taking a felony plea in Colorado for bilking businesses out of more than $300,000, Jeffrey Allan McCoon's probation was revoked and he was sentenced to 10 years at the Trinidad Correctional Facility in Arapahoe County, Colo. in July of this year.
This is good news for the thousands of valley and mountain communities who have been allegedly swindled by him. It turns out that McCoon not only defrauded Colorado residents, but California residents, as well.
McCoon, 47 and a former Oakhurst resident, allegedly committed a series of frauds that Sacramento prosecutors reported have cost homeowners thousands of dollars since 2005.
Back in 2008, McCoon faced charges in Sacramento that included false lien filings, attempted extortion and grand theft against about 50 residents from January 2005 through June 2006, according to the complaints by the Sacramento District Attorney's Office.
According to the prosecutors back then, McCoon operated under the guise of a credit card debt collection agency, Pacific States Credit Co. of Palm Springs.
Records showed that McCoon registered the company with the California Secretary of State's office in 1998, and that he also served as president of Sierra Consumer Acceptance Ltd., a company that had been incorporated in the Bahamas.
McCoon, through Pacific States, identified residents with outstanding credit card debts using a company called Unifund, which buys debt information from banks and sells it to debt collectors, according to the affidavit for his arrest.
According to the affidavit, he researched individuals to find those who owned property and then falsified Uniform Commercial Code financial statements and filed liens with the country registrar's office and with the Sacramento Superior Court.
McCoon then sent threatening letters to his victims, demanding money often a much larger sum than the actual debt to lift the liens, the affidavit stated.
Deputy District Attorney Keri Sternberg, who tried the case, said there were occasions where McCoon contacted residents to pay off the lien even before he had filed any paperwork with the county clerk.
Several victims discovered the liens, she said, only when they tried to sell or refinance their homes and paid McCoon out of desperation or expediency.
"They felt they had no choice," Sternberg said. "It's just everyday folks who have their property and some outstanding debts ... and he's taken advantage of that."
McCoon's release date is April, 10, 2023 and his next parole hearing is in Jan. 2018.