Items Tagged with 'Department of Justice'

ARTICLES

  • UBS expecting DOJ lawsuit over pre-crisis mortgage bonds

    Lawsuit could come as soon as this week
    UBS, which has already paid out hundreds of millions of dollars over its pre-crisis mortgage securitization activities, is about to be facing another massive lawsuit for the same conduct. UBS revealed late Wednesday that it is expecting to be sued by the Department of Justice over its issuance, underwriting and sale of residential mortgage-backed securities from 2006 to 2007.
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  • Florida law firm accused of preying on Hispanic homeowners in foreclosure rescue scam

    DOJ accuses Advocate Law Groups of Florida of running predatory loan scheme
    The Department of Justice this week filed a lawsuit against Advocate Law Groups of Florida, Jon Lindeman, and Ephigenia Lindeman, accusing the firm and the Lindeman’s of violating the Fair Housing Act by “intentionally discriminating against Hispanic homeowners by targeting them with a predatory mortgage loan modification and foreclosure rescue services scheme.”
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  • Lennar subsidiary Eagle Home Mortgage fined $13.2 million for FHA lending violations

    The False Claims Act ain’t dead yet
    It appears the False Claims Act ain’t dead yet. The Department of Justice announced Friday that it reached a $13.2 million settlement with Universal American Mortgage Company, the mortgage subsidiary of Lennar that does business as Eagle Home Mortgage, to resolve allegations that the lender violated the False Claims Act by falsely certifying that it complied with FHA lending standards.
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  • Nomura paying $480 million in settlement over pre-crisis mortgage bonds

    Accused of misleading RMBS investors, including Fannie Mae and Freddie Mac
    Nomura Holding America and several of its affiliates will pay $480 million in a settlement with the Department of Justice over the companies’ mortgage bond activities in the run-up to the financial crisis. The DOJ claimed that Nomura misled investors, which included university endowments, retirement funds, federally insured financial institutions, Fannie Mae, and Freddie Mac, about the quality of the underlying loans between 2006 and 2007.
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  • HSBC to pay $765 million in settlement over pre-crisis mortgage bonds

    DOJ accused bank of selling mortgage-backed securities full of toxic loans
    HSBC will pay $765 million to the federal government as part of a settlement that covers the bank’s mortgage bond activities in the run-up to the housing crisis. The Department of Justice announced Tuesday that it reached a final settlement with HSBC that would resolve an investigation into the bank’s mortgage origination and securitization activities from 2005 to 2007.
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  • Former bassist for The Ataris admits to masterminding multi-million-dollar real estate scam

    Scheme defrauded more than 100,000 people
    The former bass player in The Ataris, a rock band that gained notoriety with a 2003 cover of Don Henley’s “The Boys of Summer,” admitted in court late last week that he spearheaded a massive real estate scam that defrauded more than 100,000 people nationwide out of more than $25 million.
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  • Former Bankrate CFO gets 10 years for cooking the books to the tune of $25 million

    Pleaded guilty to defrauding shareholders out of $25 million
    The former chief financial officer of Bankrate will spend the next 10 years in prison after admitting in court earlier this year that he falsified the company’s accounts in a scheme that ended up costing shareholders $25 million. According to the Department of Justice, Edward DiMaria used his position at Bankrate to artificially boost the company’s earnings from 2010 through 2014.
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  • NFL player Mychal Kendricks accused of insider trading on News Corp’s acquisition of Move

    Former Browns linebacker admits to getting tips from former Goldman Sachs analyst
    Former Cleveland Browns linebacker Mychal Kendricks admitted Wednesday that he engaged in insider trading when he used privileged information from a former Goldman Sachs analyst to make a profit of nearly $280,000 when News Corp acquired Move back in 2014.
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  • DOJ: Chicago suburb killed low-income housing development after racial outcry

    Village of Tinley Park fined $410,000 for allegedly kowtowing to residents
    A suburb of Chicago will pay more than $400,000 as part of a settlement with the Department of Justice, which accused the city of denying a low-income housing development in response to “race-based community opposition.” The DOJ alleged that the decision was made with the “intent and with the effect of discriminating against prospective African-American tenants of Buckeye’s proposed development.”
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