Utah is ranked No. 4 in the nation for number of mortgage fraud schemes, but it was recently No. 1, Miller says. While the ploys are harmful to those who become directly involved, Miller says, the negative impact has a much broader sphere.

"In Utah, we have a problem with mortgage fraud; that's not a secret," Miller said. "What is a secret is that (Utah residents) are paying a premium for the interest rate on their mortgage. Just by the fact that you own a home in Utah ... you pay about one-quarter of a percent higher than you could get in other parts of the country because of our high rating in mortgage fraud."

Eagle Mountain is no stranger to political embarrassment: Two mayors and a city councilwoman have faced criminal charges in the past three years.

Former mayor Kelvin Bailey resigned in June 2005, a year after he pleaded no contest to providing false information to police over his faking his own kidnapping. His successor, Brian Olsen, resigned in 2006 after being charged with misusing public funds; he faces seven felony counts in 4th District Court. Councilwoman Linn Strouse — who served as mayor pro tem for two months following Olsen's resignation — was charged in September with a second degree felony. She's accused of accepting a $10,000 gift from a local land developer.

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