Items Tagged with 'Department of Justice'


HSBC reaches $601M settlement over charges of 'abusive mortgage practices'

Settlement reached with DOJ, HUD, CFPB, Federal Reserve, 49 states
HSBC agreed to a $601 million settlement with a series of federal agencies and nearly every state over charges that the bank engaged in mortgage origination, servicing and foreclosure abuses. The massive settlement with HSBC was jointly announced Friday by the Department of Justice, the Department of Housing and Urban Development, the Consumer Financial Protection Bureau, 49 states and the District of Columbia.
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Former NBA player Tate George gets 9 years for running real estate Ponzi scheme

Victims include current NBA players
Tate George, a former basketball star at the University of Connecticut who spent four years in the NBA in the early-mid 90s, will spend the next nine years in prison for “orchestrating” a $2 million real estate Ponzi scheme. George alleged victims include several current and former professional athletes.
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Quicken Loans’ lawsuit against DOJ, HUD tossed out by federal judge

Lender says it's only a 'temporary procedural setback'
Quicken Loans shocked the mortgage industry when it took a stand against the government and sued the U.S. Department of Justice and the Department of Housing and Urban Development back in April 2015. In its allegations, the lender said it was being forced to make public admissions that were blatantly false. A judge, however, didn't come to that same conclusion and tossed out the suit.
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'Ringleader' of massive mortgage fraud scheme gets 5 years for targeting Hispanics

Rosita Vilchez allegedly preyed on clients who were not proficient in English
The leader of a massive mortgage fraud scheme that generated nearly $7.4 million in fraudulent proceeds and cost lenders more than $15 million will spend the next 66 months in prison for her role in a scam that preyed on hundreds of victims in the northern Virginia Hispanic community.
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Franklin American Mortgage fined $70 million for False Claims Act violations

Department of Justice accused lender of originating substandard FHA loans
Franklin American Mortgage Company will pay the United States $70 million to settle allegations brought against the lender by the Department of Justice, which accused Franklin American of violating the False Claims Act by originating substandard Federal Housing Administration loans.
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Sage Bank fined $1.2 million by DOJ for discriminatory lending

Massachusetts-based bank accused of charging higher fees to minority borrowers
Massachusetts-based Sage Bank will pay nearly $1.2 million to settle charges brought against the bank by the Department of Justice, which accused the Sage Bank of "engaging in a pattern or practice of discrimination on the basis of race and national origin in the pricing of its residential mortgage loans."
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Quicken Loans considers quitting FHA loans

DOJ lawsuit over False Claims Act may drive lender from FHA program
The contentious legal battle between Quicken Loans and the Department of Justice over the DOJ’s allegations that Quicken violated the False Claims Act by "knowingly" submitting hundreds of "improperly underwritten" loans insured by the Federal Housing Administration may just be enough to drive Quicken Loans out of FHA lending completely.
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DOJ reportedly pursuing criminal charges against JPMorgan Chase, RBS executives

U.S. finally targeting individuals for toxic mortgage bonds?
Following through on policy changes announced earlier this year that opened the door to individuals being held criminally responsible for corporate misconduct that helped cause the financial crisis, the Department of Justice is reportedly pursuing criminal charges against executives at the Royal Bank of Scotland and JPMorgan Chase.
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