DEARBORN — Hussein “Sam” Nazzal, a Dearborn businessman, and Edward A. Schneider, a local attorney, were both found guilty this week by a federal jury for multiple counts of fraud and commercial bribery.

Nazzal (L) and Schneider (R)

Nazzal and Schneider were found gulty for conspiring to defraud Fith Third Bank between the years of 2003-2007 by using straw buyers, false tax returns, inflated financial statements and phantom down payments during commercial loan transactions that involved local business and gas stations.

U.S. Attorney Barbara McQuade says that Nazzal submitted false and fraudulent payoff letters for mortgages and pre-existing liens when none existed, so that he or one of his companies could obtain payouts at the closings.

Nazzal and Schneider were also convicted of paying bribes to a former vice president at the bank, in connection with the fraudulent loans. Nazzal was also convicted of obstruction of justice by falsifying records in a federal investigation.

Nazzal was also convicted of a similar conspiracy involving Comerica Bank and a false $500,000 mortgage. Both men’s sentencings are set for Aug. 5. They are currently free on bond