Items Tagged with 'U.S. Justice Department'


  • Baton Holdings agrees to $28 million fine to settle Bankrate fraud scheme

    Bankrate's successor admits former execs cooked the books
    As Bankrate's successor in interest, Baton Holdings has agreed to pay $28 million to settle the accounting fraud charges against Bankrate. Baton admitted that former Bankrate executives inflated earnings, which led to at least $25 million in losses for shareholders, and agreed to pay a penalty and restitution to settle the case.
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  • Feds appeal decision to release #FannieGate memos

    Claim that court made severe, irreversible error
    The government is now fighting back against the court’s decision that ordered them to release 56 documents to the public that could show that the Treasury took over Fannie Mae and Freddie Mac despite the secondary mortgage market firms being adequately capitalized. Now, however, the government claims the judge made that decision based on a misunderstanding of the principles that govern executive privilege.
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  • DOJ mortgage settlement with Deutsche Bank to cost $14B?

    Settlement talks still in progress
    While an official settlement is not yet public, it’s rumored that the U.S. Justice Department proposed that Deutsche Bank AG pay $14 billion to settle a case that dates back to the financial crisis. An article in The Wall Street Journal cites sources close to the matter for what outcome the industry could possibly expect.
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  • Former Texas housing officials sentenced for bribery scheme

    Pleaded guilty in taking bribes from Section 8 applicants
    Two former Hidalgo, Texas housing officials were sentenced for conspiracy to commit bribery. The officials admitted they took bribes from Section 8 housing applicants in exchange for letting them skip the waiting line to immediately obtain housing assistance from the local Housing Authority.
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  • Capmark Nursing Homes Default, US Sues

    The latest effort by US officials to crack down on costly mortgage fraud culminated in a lawsuit Tuesday after two federally-guaranteed mortgage defaults cost the government almost $26m. The US Justice Department filed suit against California-based mortgage lender Capmark Finance, seeking treble damages and penalties. The charges, filed in the US District Court in Los Angeles, alleges Capmark made false statements on applications for federal mortgage insurance covering residential nursing homes.
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  • HUD Appoints Three Staffers

    Faced with criticism over its handling of various housing discrimination complaints, the US Department of Housing and Urban Development (HUD) on Monday swore in Helen Kanovsky, Peter Kovar and John Trasviña as the general counsel, assistant secretary for Congressional and intergovernmental affairs, and the assistant secretary for fair housing and equal opportunity, respectively.
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  • Housing Advocates See Discrimination Spike

    Internet advertising in violation of fair housing laws, combined with the worsening foreclosure crisis, caused housing discrimination to spike nationwide, the National Fair Housing Alliance (NFHA) said Friday in its 2009 Fair Housing Trends Report.
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  • Feds Urge New Lender Record Keeping Requirements

    The U.S. Justice Department is urging Congressional leaders to require mortgage lenders and servicers to retain borrower records for up to 10 years, as part of an effort to make it easier to prosecute fraud -- alleging that regulators and law enforcement officials have had a tough time pursuing lenders for wrongdoing because of lax recordkeeping.
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