On July 3, 2017, the Department of Justice (DOJ) announced that Prospect Mortgage will pay approximately $4,157,000 to settle allegations the company committed civil mortgage fraud by underwriting mortgages that did not comply with Federal Housing Administration (FHA) standards. According to the DOJ, the California-based mortgage lender engaged in fraud carried out against the Direct [...]
The Department of Justice (DOJ) announced Tuesday that Financial Freedom, a reverse mortgage servicer one by OneWest, agreed to an $89 million settlement to resolve allegations that the company violated the False Claims Act and the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA). […]
On January 18, the DOJ and JPMorgan Chase agreed to settle a federal lawsuit that alleged that the bank had discriminated against minority borrowers in violation of the Fair Housing Act (FHA) and Equal Credit Opportunity Act (ECOA). On the same day that the DOJ filed its complaint, the parties agreed to settle the matter for [...]
On January 19, Western Union agreed to pay $586 million to settle an investigation by the Department of Justice (DOJ) and Federal Trade Commission (FTC). Western Union, the world’s biggest money-transfer company, is headquartered in Englewood, Colorado. According to a DOJ press release, Western Union has admitted to violations of federal anti-fraud and money-laundering laws. [...]
On January 13, the Department of Justice (DOJ) issued a press release announcing that it had filed a lawsuit against KleinBank alleging that the bank had engaged in unlawful “redlining” of minority neighborhoods in the Minneapolis-St. Paul metropolitan area. In its complaint, the DOJ alleged that KleinBank violated the Fair Housing Act (FHA) and the [...]
On December 28, the US Department of Justice (DOJ) issued a press release announcing that it entered into a consent order with two Ohio-based banks to resolve allegations of lending discrimination. The DOJ complaint alleged that Union Savings Bank and Guardian Savings Bank both engaged in a pattern or practice of “unlawful redlining by structuring its business [...]
On December 28, the US Department of Justice (DOJ) issued a press release announcing it reached a settlement with a national mortgage lender to resolve allegations that the lender violated the False Claims Act by originating mortgage loans that failed to meet applicable underwriting standards. United Shore Financial Services, LLC (USFS) will pay $48 million [...]
