He therefore tried to file fraudulent suits himself instead of hiring an attorney.

I'm not trying to be combative, I want you to expand your mindset and be open, otherwise you have failed REI before you even got started.

This is to answer your question from a perspective of someone who has done this full time since 2019.Loan officers will tell you we (private brokers) are fraudulent.

You don't want to start out by providing fraudulent proof of fund's letters to sellers.

Quote from @John Hernandez:  If both sides consider it a “deal” then fine, that is capitalism at its best.this is the very definition of a marketplace. now - if the 'willing' seller is misinformed, disordered or ignorant, and/or the 'able' buyer is misleading, fraudulent or abusive... then the definition is on a slippery slope.these are matters for the conscience, and pure pointers of character. !

Seth Klarman talks about how the stock market amounts to zero sum gladiatorial combat in Margin of Safety back in 1992. 

As long as you haven't personally done something fraudulent or illegal, your insurance is going to cover you, in general.

The omission of facts were made on the application, later discovery isn't an excuse to not disclosing other loans, it's a fraudulently submitted application.

I had not asked for details as his behavior is somewhat paranoid and combative.  

This can occur if a company's "identity" is stolen, ie someone other than appointed managers or owners - use company ein to open a bank account fraudulently.