Report Claims Former Lend America Head Ashley Barred From FHA for Life – NMP Skip to main content

Report Claims Former Lend America Head Ashley Barred From FHA for Life

Mar 08, 2010
The Consumer Financial Protection Bureau has filed a proposed stipulated final judgment to resolve its allegations in its lawsuit against California mortgage lender

Reuters has reported that Michael Ashley, former head of Melville, N.Y.-based Lend America, has been banned from originating, marketing or submitting claims for Federal Housing Administration (FHA) mortgages.
 
The news agency has also reported that the judgment prevents Ashley from being employed in any capacity, including as a strategist or consultant, for any company connected to the FHA. In December of 2009, Lend America ceased its loan origination and operations out of its 60,000-square-foot facility after coming under fire from the Mortgagee Review Board of the U.S. Department of Housing & Urban Development (HUD).
 
The FHA also imposed civil monetary penalties in the amount of $512,500 against Lend America. HUD’s MRB took the action based upon two notices of violation issued to the company in one month. The MRB cited numerous violations of FHA origination and underwriting requirements, including failing to document borrowers’ income and creditworthiness, and for submitting false certifications to HUD.
 
Ashley plead guilty in 1993 to conspiracy to commit wire fraud in connection with instances of mortgage fraud.

 
About the author
Published
Mar 08, 2010
First Major Housing Reform In Decades Becomes Law Without Trump's Signature

Bipartisan ROAD to Housing Act advances supply, construction, and mortgage reforms despite White House protest

Jul 10, 2026
Mortgage Star Conference Honors Women Shaping The Future Of Mortgage Leadership

MWLC honors leaders driving innovation, mentorship, and growth across the mortgage industry

Jul 09, 2026
June Jobs Report Improves Mortgage Rate Outlook

Slower hiring strengthens bonds and eases concerns over additional Fed tightening

Jul 02, 2026
NEXA Founder Mike Kortas Launches evoLend To Help Originators Retain Borrowers

New Fannie Mae-, Freddie Mac- and Ginnie Mae-approved mortgage servicer aims to keep originators connected to borrowers through servicing data, payoff visibility and retention tools

Jul 02, 2026
President Trump Cancels 21st Century ROAD To Housing Act

Trump cancels signing the bipartisan housing bill, leaving affordability package in limbo

Jun 24, 2026
Commercial, Multifamily Mortgage Debt Tops $5 Trillion In Q1

MBA says outstanding debt grew by $26.3 billion in the first quarter, led by multifamily lending and increased holdings from banks, agencies, and life insurers

Jun 18, 2026