Items Tagged with 'Securities and Exchange Commission'

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Did whistleblower out First Mortgage's $7.5 million Ginnie Mae mortgage bond fraud?

The SEC wants to know, offers potential reward
The Securities and Exchange Commission is offering a reward to the whistleblower that revealed a scheme at First Mortgage Corporation that involved several of the company’s senior executives lying about the performance of the mortgages the company originated, re-securitizing them, and defrauding investors out of $7.5 million – if in fact there is one.
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SEC fines, bans former Goldman Sachs head RMBS trader for fraud

Edwin Chin ordered to pay $400,000 for overcharging mortgage bond buyers
Edwin Chin, who served as Goldman Sachs' head RMBS trader from 2010 through 2012, agreed to settle charges brought by the SEC that he lied to clients about the prices of RMBS deals, frequently misrepresenting not only the prices that Goldman Sachs paid for the mortgage bonds, but whether the bonds were sold out of Goldman Sachs' inventory or not. This alleged misconduct generated millions of dollars of extra revenue for Goldman Sachs.
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SEC fines First Mortgage $12.7M, bans 6 execs for defrauding Ginnie Mae investors

Claimed performing mortgages were delinquent, resold them into new pools
Several senior executives at First Mortgage Corporation lied about the performance of the mortgages the company originated so they could pull the mortgages out of mortgage-backed securities guaranteed by Ginnie Mae, then turn right back around and sell the mortgages back into new mortgage bonds, defrauding investors out of $7.5 million, the Securities and Exchange Commission said Tuesday.
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Former Fannie Mae CEO to face SEC charges for subprime mortgages

Jury could infer Daniel Mudd acted with intent
Daniel Mudd, the former CEO of Fannie Mae, must face a civil trial over charges that he misled investors about the GSE’s exposure to subprime loans prior to the financial crisis. While other Fannie executives recently announced a settlement, the ending is still unwritten for Mudd, with evidence possibly showing that he knew what he was doing was false.
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Ocwen's black Monday: Nonbank discloses cavalcade of bad news

Posts big loss in 2015, expects another in 2016, discloses SEC investigation
Ocwen Financial reported its fourth quarter and full-year 2015 financial results on Monday morning, and the news wasn’t good. The nonbank disclosed that it posted a big loss in 2015, making it the second year in a row that the company took a loss. And not only did the nonbank take a loss in 2015, it expects to take another in 2016. And that’s not all. Ocwen also disclosed that it is currently under an SEC investigation.
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Utah real estate company charged with operating $28 million Ponzi scheme

SEC accuses Marquis Properties of bilking more than 250 investors
A Utah real estate investment company offered investors the promise of a guaranteed return on their investment in “turnkey” houses, but instead bilked more than 250 people out of $28 million by operating a Ponzi scheme, the Securities and Exchange Commission said Thursday.
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SEC fines Ocwen $2 million for misstating financials; Altisource, HLSS relationships

Used flawed MSR valuation methods
Ocwen Financial will pay a $2 million fine after a Securities and Exchange Commission investigation found that the nonbank misstated it financials on several occasions by using a “flawed, undisclosed methodology” to value mortgage servicing rights that were sold to an Ocwen-associated company, Home Loan Servicing Solutions.
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Attention financial industry: SEC reveals 2016 compliance exam targets

Here are the areas that the SEC will be focusing on this year

The Securities and Exchange Commission revealed Monday what areas of the financial industry its compliance examiners will be focusing on in 2016. The SEC said that there are several new areas of focus for its compliance exams this year. Here's what you need to know.


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