U.S. flag

An official website of the United States government Here’s how you know

The .gov means it’s official.

Federal government websites often end in .gov or .mil. Before sharing sensitive information, make sure you're on a federal government site.

The site is secure.

The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

2017-LA-1801-001-B
Status
Closed
Date Issued
September 20, 2017
Closed Date
January 03, 2018
OIG Component Office
Audit
Repay HUD $5,482 for partial claims paid on two FHA loans that contained prohibited restrictive covenants.
Program Office
Housing
Questioned Costs
$5,482.00
Better Funds Use
$0.00
Publication Report Number
2017-LA-1801

Related Recommendations

Recomendation Status Date Issued Summary
2017-LA-1801-001-A Closed September 20, 2017 Work with HUD to nullify the restrictions on conveyance that violate HUD policy or indemnify HUD. This action will protect HUD against future losses of $418,277 for the eight loans.
2017-LA-1801-001-C Closed September 20, 2017 Develop and implement policies and procedures to identify prohibited restrictions on conveyance to ensure that it does not originate FHA loans with prohibited restrictive covenants.
2017-LA-1801-001-D Closed September 20, 2017 Provide training to its employees regarding HUD’s requirements related to prohibited restrictions on conveyance.
2017-LA-1801-001-E Closed September 20, 2017 Determine legal sufficiency and if legally sufficient, pursue civil and administrative remedies, civil money penalties, or both against Venta, its principals, or both for incorrectly certifying to the eligibility for FHA mortgage insurance or that due diligence was exercised during the origination of FHA loans.