This topic consolidates everything you need to know to stay informed including prominent industry advocacy movements, current regulatory enforcement actions, and judicial rulings impacting mortgage banking.
OIG
A US Attorney announces the return of an indictment charging Evelisse Hernandez, a licensed mortgage loan officer, for creating and executing a mortgage fraud scheme targeting the financial institution where she was employed, and if convicted, could face up to 30 years in federal prison on each bank fraud count and a mandatory consecutive 2 years’ imprisonment on the aggravated identity theft counts.
OIG
George Kritopoulos, 50, of Salem, MA has been convicted by a federal jury in connection with a 10-year mortgage fraud scheme involving at least two dozen fraudulent loan transactions totaling $6.5 million and resulting in more than $3.8 million in losses to lenders.
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Mortgage Fraud - Stephanie Abbott
Philip Abramowitz a business owner from Maryland, pleaded guilty to conspiracy to commit wire fraud in relation to the sale of two Baltimore properties.
Mortgage Fraud Blog - Stephanie Abbott
Evelisse Hernandez, a licensed mortgage loan officer, has been charged with four counts of bank fraud and aggravated identity theft.
Mortgage Fraud Blog
Adolfo Schoneke, 44, and sister Bianca Gonzalez, 39, a.k.a. Blanca Schoneke, of Torrance, California, pleaded guilty to a federal criminal charge for participating in a $6 million real estate scam that involved listing homes without the owners’ consent and collecting money from multiple would-be buyers for each of the not-for-sale homes.
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According to several reports, Redfin has agreed to pay $4 million to fair housing organizations to settle a lawsuit alleging violations of the federal Fair Housing Act.
Automated compliance tests to ensure compliance on more loans in less time
Today, the Consumer Financial Protection Bureau (CFPB) filed a proposed order to resolve its allegations that Performance SLC, a student loan debt relief business, and Performance Settlement, a general debt-settlement company, along with their owner and CEO, Daniel Crenshaw, engaged in wrongful fee-charging practices and deceptive telemarketing
The CFPB has filed a major lawsuit against TransUnion, two of its subsidiaries, and executive, John T. Danaher, for violating a 2017 law enforcement order where TransUnion agreed to halt its illegal, deceptive marketing practices regarding credit scores and other credit-related products.
Ballard Spahr LLP--Kevin Cordero
The U.S. Court of Appeals for the Ninth Circuit recently affirmed a district court decision that Experian Information Solutions, Inc. did not violate FCRA as the information the plaintiffs alleged Experian should have disclosed was not subject disclosure such as behavioral data, “soft” credit inquiries along with the identity of all parties who procured consumer reports from Experian and more.
According to court documents, Tyler Forbes, 27, of Manlius, New York, was employed as a trader on the U.S. Treasuries desk of a global financial institution and he pleaded guilty today to manipulating U.S. Treasury securities prices.
"By partnering with ACES, we have witnessed an overall improvement in the quality of our reviews."
-Hilda Melendez, Quality Control Systems Director at Lennar Mortgage
The Federal Deposit Insurance Corporation (FDIC) has issued a Request for Information (RFI) seeking information and comments regarding the application of the laws, practices, rules, regulations, guidance, and statements of policy that apply to merger transactions involving one or more insured depository institution, including the merger between an insured depository institution and a noninsured institution.
Mortgage Fraud Blog
James Lee Clark, a disbarred attorney, has been sentenced to 48 months in federal prison for conspiracy to commit foreclosure, bankruptcy, and wire fraud from January 2010 through February 2017.
The Securities and Exchange Commission voted to release a Notice of Proposed Rulemaking that includes amendments requiring a domestic or foreign registrant to include certain climate-related information in its registration statements and periodic reports, such as Form 10-K.
Ballard Spahr LLP, Consumer Finance Monitor- John L. Culhane, Jr., Richard J. Andreano, Jr. & Ronald K. Vaske
The CFPB is directing its examiners to apply the Consumer Financial Protection Act’s unfairness standard to conduct considered to be discriminatory. Under the CFPA, an act or practice is “unfair” if it (1) it causes or is likely to cause substantial injury to consumers, and (2) the injury is not reasonably avoidable.
