Short sales may be targeted for fraud. Are banks and distressed home sellers getting rooked on a massive scale in the booming short-sale arena — leaving hundreds of millions of dollars on the table for white-collar criminals? A house in Kings Beach, Calif., was purchased near the height of the boom in 2005 for $530,000. On Oct. 28, 2009, it was sold for $247,500 to an investment group in a short sale — an arrangement in which the lender allows the delinquent owner to avoid foreclosure by selling to a third party at a price lower than the loan balance. Later that same day, the investors resold the house to a non-investor purchaser for $375,000. This produced a quick $127,500 profit — a 52% gain for the investment group in a matter of hours. How do investors manage to turn such quick profits?Click the link to find out.