Prosecutor calls Marilyn Mosby a liar, while defense says she was real estate "rookie" as fraud trial begins

Prosecutors want to block jury from seeing Marilyn Mosby’s divorce agreement at her upcoming mortg

BALTIMORE -- Marilyn Mosby walked into court for opening statements in her mortgage fraud trial Monday morning and told reporters she was "thankful."

Minutes later, federal prosecutors repeatedly called the former Baltimore City State's attorney a liar in opening statements as her defense pushed back that she was a "novice" in real estate and simply trusted those around her. 

Assistant U.S. Attorney Sean Delaney told jurors, "Baltimore's top prosecutor lied repeatedly to influence lenders she wanted to give her money for the Florida vacation homes."

When Mosby bought the two properties, prosecutors said she knowingly failed to mention a tax lien of more than $40,000 and signed a contract to rent one out, which was prohibited by the mortgage company, to get a lower interest rate. 

The prosecutor said Marilyn Mosby and her now ex-husband Baltimore City Council President Nick Mosby were "deep in debt" to the Internal Revenue Service. "There could be a suggestion to blame him for the mess she finds herself in," Delaney told the jury. "…Do not allow yourself to be distracted. Nicholas Mosby is not on trial here. Marilyn Mosby is."

Delaney referenced a 2020 letter Mosby wrote to a lender where she said, "The home is spacious and comfortable and because of my ability to work remotely, my family and I have spent the past 70 days there." Delaney said it was another lie and Mosby was not working remotely from Florida as the lead prosecutor in Baltimore City.

University of Maryland Carey School of Law Professor Doug Colbert was in the courtroom for the opening statements.

"Ms. Mosby is doing a very good job of focusing and really concentrating on what she needs to be doing right now," Colbert told WJZ Investigator Mike Hellgren. 

In their opening, Mosby's defense told the jury she "relied on and trusted loved ones and licensed professionals to help her in an unfamiliar area." 

Sedira Banan, the Assistant Federal Public Defender who represents Mosby, said her client bought the Florida homes for "increased financial independence" and noted her name was not even on the deed to her Baltimore home despite her powerful position. "Marilyn Mosby was a novice, a rookie, when it came to real estate," Banan said. She told jurors Mosby "expected her husband to address their taxes." 

Banan added, "She acted in good faith. She committed no crime. Marilyn Mosby is innocent."

A witness who works for the IRS was first to testify for the prosecution. He went through the defendant's tax records. 

"I'm sure the whole experience has been a nightmare for Ms. Mosby. But her defense is talking about trust. It's not a case about documents. It's a case in which Ms. Mosby allegedly trusted a lot of people," Professor Colbert said. 

The prosecution also called Andy Booth, who runs Executive Villas Florida, the property management company Mosby hired. He said Mosby was "difficult to work with" leading to the contract ending, but he could not remember their disagreements.

Prosecutors said they have four more witnesses before resting their case. 

Court resumes at 9:30 Tuesday morning. 

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