Bank Settles Fraudulent Underwriting Lawsuit 804

Fraud is another area of San-Diego-Personal-Injury-attorney.com

Michigan-based Flagstar Bank has agreed to a $133-million settlement with the federal government in a lawsuit accusing the bank of “fraudulent mortgage lending practices.” San-Diego-Auto-Accident-lawyer According to the lawsuit, Flagstar allowed unqualified employees to approve loans backed by the Department of Housing and Urban Development that did not comply with federal underwriting requirements. As part of the settlement, the bank has agreed to provide additional training to its employees and terminate the senior managers who oversaw the bank’s underwriting.  Katherine Yung, Detroit Free Press  02/25/2012  San Diego personal injury attorney

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