SACRAMENTO, Calif. -- The California Association of Mortgage Brokers is condemning a local real estate scheme that has left several investors nearly broke and many Elk Grove homes in foreclosure.

Jim Martin and his business partners Mario Fellini and Gabe Varimones are being accused of duping individual investors into buying more than 20 homes.

A recent KCRA 3 investigation uncovered fraudulent loan applications, inflated incomes and in some cases found investors listed as employees of a company they do not work for.

Many industry insiders have been sounding off about Martin and his partners and are calling for a federal investigation.

Mike McGee, past president of the California Association of Mortgage Brokers, said Martin and others deserve to be prosecuted.

Since KCRA 3's investigation, Martin and his partners have switched business names. They are now operating at Esnian Mortgage and Realty Network.

Online, they have been working to attract investors in Miami, Colorado Springs, Colo., and other places.

The firm's MySpace.com page lists Martin as the boss.

KCRA 3 attempted to reach Martin for comment, but he did not return calls.

Meanwhile, investors KCRA 3 has interviewed have a stern warning for anyone looking to get involved.

Investor Walter Bakos, who earlier did business with Martin, said he fears that Martin and his partners are seeking to profit off a fresh group of unknowing investors.

He urges investors to be careful before getting involved with Martin.