Subscribe to the print edition of National Mortgage Professional MagazineSubscribe to our RSS feedFollow us on TwitterGet daily updates via emailJoin us on Facebook

Securities & Exchange Commission (SEC)

BofA Preps for Storm of Litigation

Bank of America (illuminated sign)

Charlotte, N.C.’s Bank of America (BofA) is one of six banks being investigated by the U.S. Department of Justice (DOJ), New York Attorney General Eric T. Schneiderman and the Securities & Exchange Commission (SEC) for shady regulator activity during the financial crisis. The letters sent out by Schneiderman reportedly call for information regarding a record of banking transgressions including overdrawn accounts, bounced checks and fees in an effort to protect against future fraud and risky customers.Click to continue

SEC Charges JP Morgan and Credit Suisse With Misleading Investors in RMBS Offerings

SECLogo.jpg

In coordination with the federal-state Residential Mortgage-Backed Securities Working Group, the Securities & Exchange Commission (SEC) charged JP Morgan Securities LLC and Credit Suisse Securities (USA) with misleading investors in offerings of residential mortgage-backed securities (RMBS). The firms agreed to settlements in which they will pay more than $400 million combined, and the SEC plans to distribute the money to harmed investors.Click to continue

Anti-Money Laundering Program: Preparation is Protection

MoneyLaundering_Copyright_GettyImages_CreditJupiterimages

The Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury, recently finalized regulations (Final Rule) requiring non-bank Residential Mortgage Lenders and Originators (RMLOs) to establish an Anti-Money Laundering Program (AML Program) and file Suspicious Activity Reports (SARs), as FinCEN requires of other types of financial institutions.1Click to continue

SEC Reaches $28.2 Million Settlement With Option One on Bad Sub-prime Mortgage Investments

Option_One_Logo.gif

The Securities & Exchange Commission (SEC) has charged H&R Block subsidiary Option One Mortgage Corporation with misleading investors in several offerings of sub-prime residential mortgage-backed securities (RMBS) by failing to disclose that its financial condition was significantly deteriorating. Option One, now known as Sand Canyon Corporation, agreed to pay $28.2 million to settle the SEC’s charges. The SEC alleges that Option One promised investors in more than $4 billion worth of RMBS offerings that it sponsored in early 2007 that it would repurchase or replace Click to continue

SEC Charges Three Thornburg Mortgage Execs With Accounting Fraud

Accounting_Copyright_Getty_Images_Credit_Jupiterimages

The Securities & Exchange Commission (SEC) has charged the senior-most executives at Thornburg Mortgage Inc. with hiding the company’s deteriorating financial condition at the onset of the financial crisis.Click to continue

SEC Charges Former GSE Heads for Mortgage Securities Fraud

Courtroom Wide Pic

The Securities and Exchange Commission (SEC) charged six former top executives from Fannie Mae and Freddie Mac with securities fraud, alleging they knew and approved of misleading statements claiming the companies had minimal holdings of higher-risk mortgage loans, including sub-prime loans. Fannie Mae and Freddie Mac each entered into a Non-Prosecution Agreement with the SEC in which each company agreed to accept responsibility for its conduct and not dispute, contest, or contradict the contents of an agreed-upon Statement of Facts without admitting nor denying liability.Click to continue

Tom Grady Appointed Florida Commissioner of Financial Regulation

Florida Sign Pic

Florida Gov. Rick Scott and the Florida Cabinet have appointed Tom Grady of Naples as Commissioner of the Florida Office of Financial Regulation. Since 1982, Grady has practiced law with Grady and Associates, focusing on the areas of securities, investment advisor and financial industry regulation, litigation, arbitration and mediation. He has been active in securities organizations aimed at educating and safeguarding the public and raising the standards of professionalism within the brokerage industries.Click to continue

Ten Year Sentence for San Diego Man Accused of Real Estate Fraud

Handcuffs_Prison_Pic

U.S. Attorney Laura E. Duffy has announced that Matthew "Beau" La Madrid has been sentenced by U.S. District Court Judge William Q. Hayes to serve to serve 120 months in federal prison term in connection with his operation of the Plus Money Premium Return Funds (PRF) and related real estate investment and mortgage fraud schemes.Click to continue