Rep. Duffy: Settlement Funds Channeled to “Left-Wing Radical Groups” – NMP Skip to main content

Rep. Duffy: Settlement Funds Channeled to “Left-Wing Radical Groups”

Phil Hall
May 23, 2016
The chairman of the House Financial Services Subcommittee on Oversight and Investigations has accused the U.S. Department of Justice (DOJ) and U.S. Department of Housing & Urban Development (HUD) of playing politics with the distribution of funds

The chairman of the House Financial Services Subcommittee on Oversight and Investigations has accused the U.S. Department of Justice (DOJ) and U.S. Department of Housing & Urban Development (HUD) of playing politics with the distribution of funds received in mortgage-related settlements involving major banks.

According to a Morning Consult report, Rep. Sean Duffy (R-WI) stated that the DOJ and HUD have sidestepped the congressional appropriations process by steering settlement funds to groups including the National Council of La Raza and NeighborWorks America, which he defined as “left-wing radical groups.”

“I think it’s pretty clear you won’t find any right-leaning groups in these settlements,” said Duffy in a telephonic conference call. “It’s become clear to us that as this deal was structured there was a keen eye to make sure conservative groups could not access any money through these settlements.”

Duffy added that he believed the shifting of the settlement funds away from homeowners victimized in the mortgage crisis and the U.S. Treasury smacked of “political cronyism” and potential “corruption,” and he stated his subcommittee would request documents from the DOJ and HUD on the communications that resulted in the settlements and the subsequent funds distribution.

 

Published
May 23, 2016
Lakeview Loan Servicing Faces Multiple Lawsuits Over Data Breach

At least a dozen civil lawsuits have been filed against the company, all seeking class-action status.

Industry News
May 26, 2022
Homepoint Rolls Out Jumbo ARM Loans

Homepoint's Jumbo ARM is a strategic addition to the company’s expanding jumbo portfolio.

Industry News
May 25, 2022
Planet Home Lending Expands in Oregon

New team in Portland focuses on construction lending in the Northwest.

Career
May 24, 2022
PennyMac Cutting 207 Jobs

A wide variety of positions are affected.

Industry News
May 24, 2022
Loan Officer Charged With Bank Fraud, Identity Theft

If convicted, she faces up to 30 years in federal prison on each bank fraud count and a mandatory consecutive 2 years’ imprisonment.

Industry News
May 24, 2022
Openn Launches Pilot with bridgeMLS For Sales In California

Agents in Northern California, Bay Area will be able to list property and accept offers using the platform. 

Tech
May 24, 2022