This follows the article published here on the same subject but featuring a different United States Attorney's Office in an entirely different State and District: BANK EMPLOYEE INDICTED IN MORTGAGE FRAUD CONSPIRACY! That article was published here on January 14, 2014.
As is pointed out in this linked newspaper report, Bank of America's mortgage problems never seem to end. "BofA also said it's cooperating with an investigation by the civil division of the U.S. attorney's office in Brooklyn, N.Y., into yet more mortgage issues." E. Scott Reckard, "Latest Government Probes of BofA Target Foreign Exchange, FHA Issues" (Los Angeles Times Online at latimes.com, posted on Wednesday, February 26, 2014).
In an investigation reminiscent of other indictments and investigations pursued by U.S. Attorney's Offices across the country against many investment banks and lenders and their agents, the issue reportedly under investigation by the United States Attorney's Office in Brooklyn is compliance with various mortgage lending requirements of the Federal Housing Administration or FHA. In filings required by the SEC, BofA itself revealed that "the Brooklyn probe is part of an industrywide effort by regulators and government agencies" concerning the possible existence of claims resulting under the Financial Institutions Reform, Recovery and Enforcement Act of 1989 ("FIRREA"), and possibly under the False Claims Act. See id.
© 2014 by Dennis J. Wall. All rights reserved. No claim to original U.S. Government works.
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Mortgage Madness Breaks Out In March! Next week, all the articles published on Insurance Claims and Issues Blog will focus on the issues and damages alleged in lender force-placed insurance cases. Tune in and turn on to the issues and damages which may soon confront you and your clients and customers. Trust but verify!