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Maine

Brooklyn man sentenced for mortgage fraud tied to marijuana grow house in Saint Albans

Ken Yiu, 49, received time served after admitting he lied on an $80,000 mortgage application for a Maine house that he used to grow marijuana, federal prosecutors said.

A Brooklyn, New York, man who used an $80,000 mortgage from a Maine bank to buy a house in Saint Albans and turn it into a marijuana grow operation was sentenced Wednesday in U.S. District Court in Bangor, according to the U.S. attorney's office for the District of Maine.

U.S. District Judge Stacey D. Neumann sentenced Ken Yiu, 49, to time served, which prosecutors said amounted to one day, followed by three years of supervised release. Yiu pleaded guilty on Dec. 10, 2025, to submitting a false mortgage loan application and maintaining a drug-involved premises.

According to court records cited by prosecutors, Yiu answered "Yes" on the loan application when asked whether he intended to live in the property as his primary home. Prosecutors said he never intended to live there and instead used the house to grow and sell marijuana from September 2020 through January 2024.

Federal agents interviewed Yiu in December 2024, and he admitted selling marijuana grown at the Saint Albans property to buyers in Massachusetts, prosecutors said. Investigators searched the property under a federal warrant in January 2025, and the search confirmed it had been used to grow and distribute marijuana, according to the office.

Neither Yiu nor the property was licensed by the Maine Office of Cannabis Policy, prosecutors said.

The FBI, the Drug Enforcement Administration, Homeland Security Investigations and IRS Criminal Investigation investigated the case.

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