Former Beazer Exec Indicted For Fraud
A former executive of Beazer Homes has been indicted on charges of fraud and conspiracy. The homebuilder was one of Charlotte's largest until it pulled out of the local market amid scandal. Michael T. Rand was the Chief Accounting Officer of Atlanta-based Beazer Homes until the summer of 2007 when the company fired him for allegedly attempting to destroy documents. It was the beginning of the mortgage meltdown and Beazer was already under scrutiny because of a series of articles in the Charlotte Observer. In 2008, the market for newly-built homes imploded and Beazer left Charlotte. Then, in 2009 the company was charged with bilking mortgage customers and cooking the books. Beazer agreed to pay up to $50 million in restitution to home-buyers in a deal with federal prosecutors. Now prosecutors are going after the Beazer Homes executive they believe masterminded the fraud. Michael Rand faces 11 criminal counts that he manipulated Beazer's finances and kept information from the company's auditors. Prosecutors also allege Rand made false statements that led investors to lose millions and then tried to obstruct the grand jury's investigation into his actions. An attorney for Rand declined to comment on the charges.