Final Civil Action - Gateway Funding Diversified Mortgage Services, LP, Now Known as Finance of America Mortgage, LLC, Settled Allegations of Failing To Comply With HUD’s Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), assisted the U.S. Department of Justice (DOJ) and the U.S. Attorney’s Office for the Northern District of New York in a civil investigation of Gateway Funding Diversified Mortgage Services, LP, now known as Finance of America Mortgage, LLC (FAM). Gateway was a Federal Housing Administration (FHA)-approved mortgage lender. On May 31, 2015,…
March 18, 2019
Memorandum
#2019-CF-1802
Final Civil Action – Permanent Claim Block Placed on Borrower’s Federal Housing Administration Loan Because It Did Not Qualify for Insurance
The Office of Inspector General (OIG) assisted the U.S. Attorney’s Office for the District of New Jersey in the investigation of Finance of America Mortgage LLC. The investigation began due to a qui tam filing in the U.S. District Court for the District of New Jersey. The relator alleged that Finance of America, through its acquisition of Gateway Funding Diversified Mortgage Services LLP, knowingly participated in a mortgage fraud…
September 28, 2016
Memorandum
#2016-CF-1809
Cunningham and Company Settled Alleged Violations of Failing To Comply With Federal Housing Administration Loan Requirements
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), investigated Cunningham and Company to determine whether it violated HUD requirements when underwriting loans insured by the Federal Housing Administration (FHA). Cunningham is an FHA mortgage lender, formerly located in Greensboro, NC. Based on OIG’s review, HUD contends that Cunningham may be liable under the Program Fraud Civil Remedies Act…
September 07, 2016
Memorandum
#2016-CF-1803
The Pennsylvania Housing Finance Agency, Harrisburg, PA, Properly Implemented HUD’s Loss Mitigation Requirements for Servicing Loans Insured by the Federal Housing Administration
We audited the Pennsylvania Housing Finance Agency’s implementation of the U.S. Department of Housing and Urban Development’s (HUD) Loss Mitigation program for loans insured by the Federal Housing Administration (FHA). We conducted the audit because the Agency had the largest active portfolio and the largest number of delinquent loans for servicers located in Pennsylvania as of October 2014. Our objectives were to determine whether…
September 27, 2015
Report
#2015-PH-1006
Final Civil Action - Bank of America Settled Alleged Violations of the False Claims Act by Countrywide Home Loans, Inc.
The U.S. Department of Housing and Urban Development (HUD), Office of Inspector General (OIG), conducted a review of loans underwritten by Countrywide Home Loans Inc., and its divisions Countrywide Bank FSB and Countrywide Mortgage Ventures, LLC. The objective of the review was to determine whether Countrywide underwrote Federal Housing Administration (FHA) loans in accordance with HUD-FHA regulations.
Countrywide is a subsidiary of Bank of…
June 11, 2012
Memorandum
#2012-CF-1809
Ally Financial, Incorporated Foreclosure and Claims Process Review Fort Washington, PA
As part of the Office of Inspector General’s (OIG) nationwide effort to review the foreclosure practices of the five largest Federal Housing Administration (FHA) mortgage servicers (Bank of America, Wells Fargo Bank, CitiMortgage, JP Morgan Chase, and Ally Financial, Incorporated) we reviewed Ally Financial, Incorporated’s foreclosure and claims processes. In addition to this memorandum, OIG issued separate memorandums for each of the other…
March 11, 2012
Memorandum
#2012-PH-1801
Bank of America Corporation, Foreclosure and Claims Process Review Charlotte, NC
As part of the Office of Inspector General’s (OIG) nationwide effort to review the foreclosure practices of the five largest Federal Housing Administration (FHA) mortgage servicers (Bank of America, Wells Fargo Bank, CitiMortgage, JP Morgan Chase, and Ally Financial, Incorporated) we reviewed Bank of America’s foreclosure and claims processes. In addition to this memorandum, OIG issued separate memorandums for each of the other four reviews.…
March 11, 2012
Memorandum
#2012-FW-1802
The City of Reading, Pennsylvania, Generally Administered Its Asset Control Area Program in Compliance with HUD Requirements
We audited the City of Reading's (City) asset control area program as part of a nationwide audit of the U.S. Department of Housing and Urban Development's (HUD) monitoring of program participants. Our objective was to determine whether the City administered its asset control area program in compliance with HUD requirements. We focused our review on whether the City complied with specific requirements in its asset control area agreement (…
May 28, 2009
Report
#2009-PH-1008
GMAC Mortgage
We reviewed lenders in the State of Connecticut that had Federal Housing Administration (FHA) loans with secondary financing from the Connecticut Housing Finance Authority as part of our annual audit plan. The objective was to determine whether the lenders inappropriately gave borrowers using secondary financing from the Connecticut Housing Finance Authority cash back at closing in excess of their total cash deposit and other closing costs paid…
April 29, 2009
Report
#2009-BO-1007
National City Mortgage, Plymouth Meeting, Pennsylvania, Generally Complied with HUD Requirements in Originating FHA-Insured Single-Family Loans
Attached is the final report on our audit of the Plymouth Meeting, Pennsylvania, branch of National City Mortgage (branch office), Audit Report Number 2008-PH-1002, dated November 20, 2007. We selected the branch office because its default rate was above the state's default rate. Our objective was to determine whether the branch office complied with U.S. Department of Housing and Urban Development (HUD) regulations, procedures, and instructions…
November 18, 2007
Report
#2008-PH-1002