A McLean man pleaded guilty this week to charges related to a conspiracy to steal $20 million from Host Hotels and Resorts L.P., a national hotel chain.
Jonathan Propp, 48, of McLean, pleaded guilty to charges related to efforts to illegally sell hotels through straw buyers, from which he and another person reportedly made $20 million. Propp also admitted he participated in a plan to steal and launder an additional $15 million, which he used in part for personal and business expenses, according to FBI officials.
Propp's pleas were accepted in the U.S. District Court for the Eastern District of Virginia this week.
Propp was COO of Molinaro-Koger, a real estate brokerage firm specializing in the hospitality industry.
“From 2009 through 2012, Propp conspired with others to illegally sell hotels owned by Host to straw buyers, who would then immediately sell the properties to a buyer at a higher price, with the conspirators pocketing the difference. Propp admitted that he posed as a straw buyer, forged signatures, and obtained a driver’s license for one of the straw buyers who had died before the fraudulent sale could be completed,” according to a press release from the FBI.
Todd Lawyer, 53, of Fairfax, also pleaded guilty for his role in the schemes. Propp and Lawyer earned $20 million combined from their improper dealings, according to prosecutors.
Propp and Lawyer will both be sentenced in late May.