Mortgagee Review Board: Administrative Actions, 17591-17597 [2023-05978]
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Federal Register / Vol. 88, No. 56 / Thursday, March 23, 2023 / Notices
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note contact information provided here
is solely for questions regarding this
notice. It is not for individual case
status inquiries. Applicants seeking
information about the status of their
individual cases can check Case Status
Online, available at the USCIS website
at https://www.uscis.gov, or call the
USCIS Contact Center at (800) 375–
5283; TTY (800) 767–1833.
SUPPLEMENTARY INFORMATION:
Comments
The information collection notice was
previously published in the Federal
Register on December 23, 2022, at 87 FR
78989, allowing for a 60-day public
comment period. USCIS did not receive
any comments in connection with the
60-day notice.
You may access the information
collection instrument with instructions,
or additional information by visiting the
Federal eRulemaking Portal site at:
https://www.regulations.gov and enter
USCIS–2007–0041 in the search box.
The comments submitted to USCIS via
this method are visible to the Office of
Management and Budget and comply
with the requirements of 5 CFR
1320.12(c). All submissions will be
posted, without change, to the Federal
eRulemaking Portal at https://
www.regulations.gov, and will include
any personal information you provide.
Therefore, submitting this information
makes it public. You may wish to
consider limiting the amount of
personal information that you provide
in any voluntary submission you make
to DHS. DHS may withhold information
provided in comments from public
viewing that it determines may impact
the privacy of an individual or is
offensive. For additional information,
please read the Privacy Act notice that
is available via the link in the footer of
https://www.regulations.gov.
Written comments and suggestions
from the public and affected agencies
should address one or more of the
following four points:
(1) Evaluate whether the proposed
collection of information is necessary
for the proper performance of the
functions of the agency, including
whether the information will have
practical utility;
(2) Evaluate the accuracy of the
agency’s estimate of the burden of the
proposed collection of information,
including the validity of the
methodology and assumptions used;
(3) Enhance the quality, utility, and
clarity of the information to be
collected; and
(4) Minimize the burden of the
collection of information on those who
are to respond, including through the
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use of appropriate automated,
electronic, mechanical, or other
technological collection techniques or
other forms of information technology,
e.g., permitting electronic submission of
responses.
Overview of This Information
Collection
(1) Type of Information Collection
Request: Revision of a Currently
Approved Collection.
(2) Title of the Form/Collection:
Interagency Record of Request—A, G, or
NATO Dependent Employment
Authorization or Change/Adjustment
To/From A, G, or NATO Status.
(3) Agency form number, if any, and
the applicable component of the DHS
sponsoring the collection: I–566; USCIS.
(4) Affected public who will be asked
or required to respond, as well as a brief
abstract: Primary: Individuals or
households. The data on this form is
used by Department of State (DOS) to
certify to USCIS the eligibility of
dependents of A or G principals
requesting employment authorization,
as well as for NATO/Headquarters,
Supreme Allied Commander
Transformation (NATO/HQ SACT) to
certify to USCIS similar eligibility for
dependents of NATO principals. DOS
also uses this form to certify to USCIS
that certain A, G, or NATO
nonimmigrants may change their status
to another nonimmigrant status. USCIS
uses data collected on this form in the
adjudication of change or adjustment of
status applications from aliens in A, G,
or NATO classifications. USCIS also
uses Form I–566 to notify DOS of the
results of these adjudications.
The information provided on this
form continues to ensure effective
interagency communication among the
three governmental departments—the
Department of Homeland Security
(DHS), DOS, and the Department of
Defense (DOD)—as well as with NATO/
HQ SACT. These departments and
organizations utilize this form to
facilitate the uniform collection and
review of information necessary to
determine an alien’s eligibility for the
requested immigration benefit. This
form also ensures that the information
regarding findings or actions is
communicated among DHS, DOS, DOD,
and NATO/HQ SACT.
(5) An estimate of the total number of
respondents and the amount of time
estimated for an average respondent to
respond: The estimated total number of
respondents for the information
collection I–566 is 5,800 and the
estimated hour burden per response is
1 hour and 17 minutes.
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17591
(6) An estimate of the total public
burden (in hours) associated with the
collection: The total estimated annual
hour burden associated with this
collection is 7,441 hours.
(7) An estimate of the total public
burden (in cost) associated with the
collection: The estimated total annual
cost burden associated with this
collection of information is $746,750.
Dated: March 16, 2023.
Jerry L. Rigdon,
Deputy Chief, Regulatory Coordination
Division, Office of Policy and Strategy, U.S.
Citizenship and Immigration Services,
Department of Homeland Security.
[FR Doc. 2023–05956 Filed 3–22–23; 8:45 am]
BILLING CODE 9111–97–P
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–6379–N–01]
Mortgagee Review Board:
Administrative Actions
Office of the Assistant
Secretary for Housing–Federal Housing
Commissioner, Department of Housing
and Urban Development, HUD.
ACTION: Notice.
AGENCY:
In compliance with the
National Housing Act, this notice
advises of the cause and description of
administrative actions taken by HUD’s
Mortgagee Review Board against FHAapproved mortgagees in fiscal year 2022.
FOR FURTHER INFORMATION CONTACT:
Nancy A. Murray, Secretary to the
Mortgagee Review Board, 451 Seventh
Street SW, Room B–133, Washington,
DC 20410–8000; telephone (202) 402–
2701 (this is not a toll-free number).
HUD welcomes and is prepared to
receive calls from individuals who are
deaf or hard of hearing, as well as
individuals with speech or
communication disabilities. To learn
more about how to make an accessible
telephone call, please visit https://
www.fcc.gov/consumers/guides/
telecommunications-relay-service-trs.
SUPPLEMENTARY INFORMATION: Section
202(c)(5) of the National Housing Act
(12 U.S.C. 1708(c)(5)) requires that HUD
‘‘publish in the Federal Register a
description of and the cause for
administrative action against a[n FHAapproved] mortgagee’’ by HUD’s
Mortgagee Review Board (‘‘Board’’). In
compliance with the requirements of
section 202(c)(5), this Notice advises of
actions that have been taken by the
Board in its meetings from the
beginning of fiscal year 2022, October 1,
2021, through September 30, 2022,
SUMMARY:
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where settlement agreements have been
reached, civil money penalties were
imposed, or FHA participation was
terminated as of February 21, 2023.
I. Civil Money Penalties, Withdrawals
of FHA Approval, Suspensions,
Probations, and Reprimands
1. AlaskaUSA Mortgage Company
L.L.C., Anchorage, AK [Docket No. 22–
2007–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with AlaskaUSA Mortgage
Company L.L.C. (‘‘AlaskaUSA’’) that
included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: AlaskaUSA failed
to timely notify FHA of a state sanction
in its fiscal year 2021.
2. American Lending, Inc., Costa Mesa,
CA [Docket No. 21–2185–MR]
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Action: On February 24, 2022, the
Board voted to withdraw American
Lending, Inc. (‘‘American Lending’’) for
a period of three years.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
American Lending (a) failed to timely
notify FHA of a state sanction in its
fiscal year 2020; (b) submitted to FHA
a false certification concerning its fiscal
year 2020; (c) failed to maintain in its
fiscal year 2020 the minimum required
adjusted net worth; (d) failed to timely
notify FHA of its minimum adjusted net
worth deficiency in its fiscal year 2020;
(e) failed to maintain the minimum
required liquid assets in its fiscal year
2020; (f) failed to timely notify FHA of
a required liquid assets deficiency in its
fiscal year 2020; (g) failed to maintain a
warehouse line of credit or other
acceptable mortgage-funding program in
its fiscal years 2020 and 2021; (h) failed
to timely notify FHA of a funding
program deficiency in its fiscal year
2020; (i) failed to timely notify FHA of
a change in principal ownership in its
fiscal year 2021; and (j) failed to comply
with FHA underwriting requirements
concerning one FHA-insured mortgage
loan.
money penalty of $5,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Benchmark (a) failed to timely notify
FHA of an unresolved finding in its
fiscal year 2020; and (b) failed to timely
notify FHA of a state sanction in its
fiscal year 2020.
4. Aurora Financial Group, Wall
Township, NJ [Docket No. 21–2235–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Aurora Financial Group
(‘‘Aurora’’) that included a civil money
penalty of $15,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Aurora:
(a) failed to timely notify FHA of a state
sanction in its fiscal year 2020; (b) failed
to timely notify FHA of a state sanction
in its fiscal year 2021; and (c) failed to
timely notify FHA of a second state
sanction in its fiscal year 2021.
3. Ark-La-Tex Financial Services L.L.C.
d/b/a Benchmark, L.L.C., Plano, TX
[Docket No. 21–2191–MR]
5. Bay to Bay Lending, L.L.C., Tampa, FL
[Docket No. 21–2234–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Bay to Bay Lending,
L.L.C. (‘‘Bay to Bay’’) that included a
civil money penalty of $40,490. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Bay to
Bay: (a) failed to timely submit
acceptable annual audited financial
statements and supplemental reports for
its fiscal year 2020; (b) failed to
maintain the minimum required
adjusted net worth throughout its fiscal
year 2020; (c) failed to timely notify
FHA of its minimum adjusted net worth
deficiency for its fiscal year 2020; (d)
failed to timely notify FHA of an
operating loss in a fiscal quarter that
exceeded 20 percent of its net worth in
its fiscal year 2020; (e) failed to file the
required quarterly financial statements
subsequent to an operating loss
exceeding 20 percent of its quarter-end
net worth in its fiscal year 2020; and (f)
failed to timely notify FHA of a change
in principal ownership in its fiscal year
2020.
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Ark-La-Tex Financial
Services L.L.C. d/b/a Benchmark
(‘‘Benchmark’’) that included a civil
6. Beeline Loans, Inc., Providence, RI
[Docket No. 21–2136–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Beeline Loans, Inc.
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(‘‘Beeline’’) that included a civil money
penalty of $15,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Beeline: (a) failed to timely notify FHA
of an operating loss in a fiscal quarter
that exceeded 20 percent of its net
worth in its fiscal year 2020; (b) failed
to file the required quarterly financial
statements subsequent to an operating
loss exceeding 20 percent of its quarterend net worth in its fiscal year 2021;
and (c) failed to file the required
quarterly financial statements
subsequent to an operating loss
exceeding 20 percent of its quarter-end
net worth in its fiscal year 2021.
7. Bellwether Enterprise Real Estate
Capital, Cleveland, OH [Docket No. 21–
2229–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Bellwether Enterprise
Real Estate Capital (‘‘Bellwether’’) that
included an administrative payment of
$341,500. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged
violations of FHA’s requirements:
Bellwether obtained loan fees in excess
of five percent for five loans that
received reduced Mortgage Insurance
Premium (‘‘MIP’’) rates under the
Affordable and Green MIP Programs.
8. BNB Financial, Inc., Glendale, CA
[Docket No. 21–2252–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with BNB Financial, Inc.
(‘‘BNB’’) that included a civil money
penalty of $15,245. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: BNB (a)
failed to timely notify FHA of a state
sanction in its fiscal year 2021; and (b)
submitted to FHA a false certification
concerning its fiscal year 2021.
9. Broker Solutions, Inc., Tustin, CA
Action: On February 24, 2022, the
Board voted to concur on a settlement
of a False Claims Act lawsuit initiated
by a realtor against Broker Solutions,
Inc. d/b/a New American Funding
(‘‘Broker Solutions’’) and that included
a payment of $702,000 to FHA. The
settlement did not constitute an
admission of liability or fault.
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Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Broker
Solutions (a) improperly compensated
employees performing underwriting
activities on a commission basis; (b)
authorized certain managers or
salespersons to override FHA and other
government underwriting requirements;
(c) took steps to improperly increase the
appraised value of properties; (d)
manipulated borrower income and debt
information to improperly approve
loans through TOTAL Mortgage
Scorecard; and (e) withheld
underwriting deficiencies identified by
quality control auditors from FHA and
other government entities.
10. Chu & Associates, Inc., d/b/a
Fidelity Funding Bancorp, Pasadena,
CA [Docket No. 21–2245–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Chu & Associates, Inc.
(‘‘Chu’’) that included a civil money
penalty of $30,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Chu (a)
failed to maintain the minimum
required adjusted net worth in its fiscal
years 2020 and 2021; (b) failed to timely
notify FHA of its adjusted net worth
deficiency in its fiscal years 2020 and
2021; (c) failed to maintain the
minimum required liquid assets in its
fiscal year 2020; and (d) failed to timely
notify FHA of a liquid asset deficiency
in its fiscal year 2020.
11. Cliffco Inc., Uniondale, NY [Docket
No. 22–2205–MR]
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Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Cliffco Inc. (‘‘Cliffco’’)
that included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Cliffco failed to
timely notify FHA of a state sanction in
its fiscal year 2021.
12. Coastal States Mortgage, Inc., Hilton
Head Island, SC [Docket No. 21–2202–
MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Coastal States Mortgage,
Inc. (‘‘Coastal States’’) that included a
civil money penalty of $5,000. The
settlement did not constitute an
admission of liability or fault.
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Cause: The Board took this action
based on the following alleged violation
of FHA requirement. Coastal States (a)
failed to report an unresolved finding in
its fiscal year 2019; and (b) failed to
timely report a state sanction in its fiscal
year 2019.
13. Columbus Capital Lending, L.L.C.,
d/b/a Zoom Loans, Miami, FL [Docket
No. 22–2006–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Columbus Capital
Lending, L.L.C. d/b/a Zoom Loans
(‘‘Zoom Loans’’) that included a civil
money penalty of $15,245. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements. Zoom
Loans (a) failed to timely notify FHA of
a state sanction in its fiscal year 2020;
and (b) submitted to FHA a false
certification concerning its fiscal year
2020.
14. Contour Mortgage Corporation,
Garden City, NY [Docket No. 21–2195–
MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Contour Mortgage
Corporation (‘‘Contour’’) that included a
civil money penalty of $25,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements.
Contour (a) failed to timely notify FHA
of a state sanction in its fiscal years
2018 and 2020; (b) failed to timely
notify FHA of a state sanction against its
employee in its fiscal year 2018; and (c)
submitted to FHA a false certification
concerning its fiscal year 2018.
15. Credence Funding Corporation,
Aberdeen, MD [Docket No. 22–2002–
MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Credence Funding
Corporation (‘‘Credence’’) that included
a civil money penalty of $15,245. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Credence (a) failed to timely notify FHA
of a state sanction in its fiscal year 2019;
and (b) submitted to FHA a false
certification concerning its fiscal year
2019.
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16. Del Sur Corporation, San Fernando,
CA [Docket No. 20–2145–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Del Sur Corporation
(‘‘Del Sur’’) that included a civil money
penalty of $38,977. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Del Sur
failed to maintain an escrow account to
segregate escrow commitment deposits,
work completion deposits, and all
periodic payments received for loans or
insured mortgages on account of ground
rents, taxes, assessments and insurance
charges or premiums in its fiscal years
2017, 2018, 2019, and 2020.
17. Dwight Capital LLC, New York, NY
[Docket No. 21–2166–MR]
Action: On September 15, 2022, the
Board voted to enter into a settlement
agreement with Dwight Capital LLC
(‘‘Dwight’’) that included a civil money
penalty of $16,000,000, execution of 24
life-of-loan indemnifications, and a
corrective action plan. The settlement
did not constitute an admission of
liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Dwight
(a) obtained loan fees in excess of five
percent for five loans that received
reduced MIP rates under FHA’s Green
MIP Program; (b) engaged in prohibited
business practices, (c) failed to adopt a
Quality Control (‘‘QC’’) Program that
fully complied with HUD requirements;
(d) failed to comply with its QC
Program, (e) engaged in business
practices that do not conform to
generally accepted practices of prudent
mortgagees; (f) failed to disclose identity
of interest (‘‘IOI’’) relationships; (g)
failed to properly disclose and review
IOI borrowers; (h) submitted to FHA
false statements and false certifications;
(i) submitted false information to the
Mortgagee Review Board; and (j)
violated use and disclosure
requirements regarding brokers.
18. Evesham Mortgage L.L.C., Marlton,
NJ [Docket No. 21–2246–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Evesham Mortgage
L.L.C. (‘‘Evesham’’) that included a civil
money penalty of $59,567, and
execution of five life-of loan
indemnifications. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
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violations of FHA requirements:
Evesham (a) failed to properly verify
and document effective income on two
loans; (b) failed to properly document
gift funds for nine loans; (c) failed to
properly document borrowers’ funds to
close for two loans; (d) failed to
document that a borrower whose
underwriting approval relied on the use
of retirement account assets was both
eligible to make withdrawals and did, in
fact, make the withdrawals; (e) failed to
include all required documentation in
the case binders for two loans; (f) failed
to timely notify FHA of a state sanction
in its fiscal year 2020; and (g) submitted
to FHA a false certification concerning
its fiscal year 2020.
19. Fairway Independent Mortgage
Corporation, Madison, WI [Docket No.
21–2192–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Fairway Independent
Mortgage Corporation (‘‘Fairway’’) that
included a civil money penalty of
$96,960. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Fairway (a) failed to adopt and
implement a QC Plan in compliance
with FHA requirements; and (b) failed
to comply with FHA’s self-reporting
requirements to ensure it reported to
FHA all fraud, misrepresentation, and
other findings.
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20. Finco Mortgage L.L.C., Scottsdale,
AZ [Docket No. 22–2004–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Finco Mortgage L.L.C.
d/b/a Minute Mortgage (‘‘Minute
Mortgage’’) that included a civil money
penalty of $10,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Minute
Mortgage (a) failed to maintain the
minimum required adjusted net worth
in its fiscal year 2021; and (b) failed to
timely notify FHA of its minimum
adjusted net worth deficiency in its
fiscal year 2021.
21. GoodLeap, LLC, Roseville, CA
[Docket No. 21–2250–MR]
Action: On September 15, 2022, the
Board voted to enter into a settlement
agreement with GoodLeap, LLC
(‘‘GoodLeap’’) that included a civil
money penalty of $35,245. The
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settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
GoodLeap (a) failed to timely notify
FHA of an operating loss in a fiscal
quarter that exceeded 20 percent of its
net worth in its fiscal year 2020 and
fiscal year 2021; (b) failed to file the
required quarterly financial statements
subsequent to an operating loss
exceeding 20 percent of its quarter-end
net worth in its fiscal year 2020 and
fiscal year 2021; (c) failed to timely
notify FHA of a state sanction in its
fiscal year 2020; and (d) submitted to
FHA a false certification concerning its
fiscal year 2020.
22. Grande Homes, Inc., National City,
CA [Docket No. 21–2249–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Grande Homes, Inc.
(‘‘Grande Homes’’) that included a civil
money penalty of $5,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Grande Homes
violated FHA requirements by failing to
timely notify FHA of a change of its
principal ownership in its fiscal year
2020.
23. Greystone Funding Company L.L.C.,
Atlanta, GA [Docket No. 22–2019–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Greystone Funding
Company L.L.C. (‘‘Greystone’’) that
included a civil money penalty of
$4,801,340 and required Greystone to
update its training materials; improve
its underwriting processes; institute
review by senior staff and, if necessary,
its legal department; instruct its team to
err on the side of disclosure; expand its
IOI screening; and amend its QC plan to
clarify it reporting obligations. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Greystone: (a) falsely certified in three
instances in each of twenty Section
223(a)(7) refinance applications
submitted by Greystone in 2020 and
2021; (b) failed to disclose an ongoing
Department of Justice investigation into
the borrower’s projects and companies;
and (c) failed to disclose an IOI with the
borrower.
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24. Heartland Bank and Trust
Company, Bloomington, IL [Docket No.
21–2209–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Heartland Bank and
Trust Company (‘‘Heartland’’) that
included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Heartland
violated FHA requirements by failing to
timely notify FHA of change in its
business structure in fiscal year 2020.
25. Jet Direct Funding Corp. d/b/a Jet
Direct Mortgage, Bay Shore, NY [Docket
No. 20–2019–MR]
Action: On May 18, 2021, the Board
voted to enter into a settlement
agreement with Jet Direct Funding Corp.
d/b/a Jet Direct Mortgage (‘‘Jet Direct’’)
that included a civil money penalty of
$19,819. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Jet
Direct (a) failed to timely notify FHA of
a state sanction in its fiscal year 2018;
(b) failed to timely notify FHA of a state
sanction in its fiscal year 2019; and (c)
submitted to FHA a false certification
concerning its fiscal year 2018.
26. JSB Mortgage Corporation, La
Mirada, CA [Docket No. 20–2067–MR]
Action: On September 21, 2021, the
Board voted to impose a civil money
penalty of $25,134 against JSB Mortgage
Corporation (‘‘JSB’’).
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: JSB (a)
failed to timely notify FHA of a state
sanction in its fiscal year 2019; (b)
submitted to FHA a false certification
concerning its fiscal year 2019; and (c)
permitted its Officer in Charge to engage
in dual employment.
27. Manhattan Financial Group, Inc.,
Escondido, CA [Docket No. 21–2206–
MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Manhattan Financial
Group, Inc. (‘‘Manhattan Financial’’)
that included a civil money penalty of
$10,067. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Manhattan
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Financial failed to timely notify FHA of
a state sanction in its fiscal year 2019.
28. Mortgage Clearing Corporation,
Tulsa, OK [Docket No. 21–2253–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Mortgage Clearing
Corporation (‘‘Mortgage Clearing’’) that
included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Mortgage Clearing
failed to timely notify FHA of a state
sanction in its fiscal year 2021.
29. Mortgage Solutions of Colorado
L.L.C., Colorado Springs, CO [Docket
No. 22–2013–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Mortgage Solutions of
Colorado L.L.C. (‘‘Mortgage Solutions’’)
that included a civil money penalty of
$15,366. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Mortgage
Solutions (a) failed to timely notify FHA
of a state sanction in its fiscal year 2020;
and (b) submitted to FHA a false
certification concerning its fiscal year
2020.
ddrumheller on DSK120RN23PROD with NOTICES1
30. New England Regional Mortgage
Corporation, Salem, NH [Docket No. 22–
2009–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with New England Regional
Mortgage Corp (‘‘New England
Regional’’) that included a civil money
penalty of $5,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: New England
Regional failed to timely notify FHA of
a state sanction in its fiscal year 2021.
31. North American Financial
Corporation, Henderson, NV [Docket
No. 21–2214–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with North American
Financial Corporation (‘‘North
American’’) that included a civil money
penalty of $25,500. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
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violations of FHA requirements: North
American (a) originated 33 FHA loans
between February 8, 2017 and August
27, 2018 without the appropriate state
license; and (b) failed to timely notify
FHA of a state sanction in its fiscal year
2020.
32. Pacific Horizon Bancorp, La
Crescenta, CA [Docket No. 22–2018–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Pacific Horizon Bancorp
(‘‘Pacific Horizon’’) that included a civil
money penalty of $15,245. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Pacific
Horizon (a) failed to timely notify FHA
of a state sanction in its fiscal year 2020;
and (b) submitted to FHA a false
certification concerning its fiscal year
2020.
33. Poli Mortgage Group, Norwood, MA
[Docket No. 22–2012–MR]
Action: On September 15, 2022, the
Board voted to enter into a settlement
agreement with Poli Mortgage Group
(‘‘Poli’’) that included a civil money
penalty of $15,245. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: Poli (a)
failed to timely notify FHA of a state
sanction in its fiscal year 2020; and (b)
submitted to FHA a false certification
concerning its fiscal year 2020.
34. ReNew Lending, Inc., Reno, NV
[Docket No. 21–2254–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Renew Lending, Inc.
(‘‘ReNew’’) that included a civil money
penalty of $10,000. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: ReNew
(a) failed to maintain the minimum
required liquid assets in its fiscal year
2020; and (b) failed to timely notify
FHA of a liquid assets deficiency in its
fiscal year 2020.
35. Residential Acceptance Corporation,
L.L.C., Tampa, FL [Docket No. 21–2198–
MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Residential Acceptance
Corporation, L.L.C. (‘‘Residential
Acceptance’’) that included a civil
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17595
money penalty of $30,490 and
indemnification of one loan. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Residential Acceptance (a) failed to
properly validate assets and resolve
conflicting information during
underwriting; (b) failed to meet FHA
requirements in documenting gift funds;
and (c) failed to timely notify FHA of
two state sanctions in its fiscal year
2021.
36. Residential Mortgage Funding Inc.,
Orange, CA [Docket No. 22–2003–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Residential Mortgage
Funding, Inc. (‘‘Residential Mortgage’’)
that included a civil money penalty of
$15,245. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Residential Mortgage (a) failed to timely
notify FHA of a state sanction in its
fiscal year 2020; and (b) submitted to
FHA a false certification concerning its
fiscal year 2020.
37. Ruoff Mortgage Company Inc., Fort
Wayne, IN [Docket No. 21–2183–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Ruoff Mortgage
Company Inc. (‘‘Ruoff’’) that included a
civil money penalty of $5,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Ruoff failed to
timely notify FHA of a state sanction in
its fiscal year 2020.
38. Rushmore Loan Management
Services, L.L.C., Dallas, TX [Docket No.
22–2010–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Rushmore Loan
Management Services (‘‘Rushmore’’)
that included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Rushmore failed
to timely notify FHA of a state sanction
in its fiscal year 2020.
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Federal Register / Vol. 88, No. 56 / Thursday, March 23, 2023 / Notices
39. Sente Mortgage Inc., Austin, TX
[Docket No. 22–2022–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Sente Mortgage, Inc.
(‘‘Sente’’) that included a civil money
penalty of $15,366. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Sente (a) failed to
timely notify FHA in its fiscal year 2021
of a state sanction; and (b) submitted to
FHA a false certification concerning its
fiscal year 2021.
40. ServiceMac L.L.C., Fort Mill, SC
[Docket No. 21–2203–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with ServiceMac, L.L.C.
(‘‘ServiceMac’’) that included a civil
money penalty of $20,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
ServiceMac (a) failed on four occasions
to timely notify FHA of an operating
loss in a fiscal quarter that exceeded 20
percent of its net worth in its fiscal year
2019; and (b) failed to file the required
quarterly financial statements
subsequent to an operating loss
exceeding 20 percent of its quarter-end
net worth in its fiscal year.
41. SouthPoint Financial Services, Inc.,
Alpharetta, GA [Docket No. 22–2021–
MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with SouthPoint Financial
Services, Inc. (‘‘SouthPoint’’) that
included a civil money penalty of
$10,067 and execution of one 5-year
indemnification agreement. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Southpoint failed
to adequately document the transfer of
gift funds for an FHA insured loan.
ddrumheller on DSK120RN23PROD with NOTICES1
42. Statewide Funding Inc., Ontario, CA
[Docket No. 21–2215–MR]
Action: On September 15, 2022, the
Board voted to enter into a settlement
agreement with Statewide Funding, Inc.
(‘‘Statewide’’) that included a civil
money penalty of $25,366 and
Statewide’s submission of quarterly
financial statements to FHA for one
year. The settlement did not constitute
an admission of liability or fault.
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19:23 Mar 22, 2023
Jkt 259001
Cause: The Board took this action
based on the following alleged
violations of FHA requirements:
Statewide (a) failed to maintain in its
fiscal years 2019, 2020, and 2021 the
minimum required adjusted net worth;
and (b) failed to timely notify FHA of its
adjusted net worth deficiency in its
fiscal year 2020.
43. Sunmark Credit Union, Latham, NY
[Docket No.21–2200–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Sunmark Credit Union
(‘‘Sunmark’’) that included a civil
money penalty of $10,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Sunmark failed to
timely notify FHA of two changes in its
business structure (in, respectively,
December 2018 and May 2019)
involving Sunmark and two non-FHA
approved credit unions.
44. Sutherland Mortgage Services Inc.,
Sugar Land, TX [Docket No. 21–2247–
MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with Sutherland Mortgage
Services Inc. (‘‘Sutherland’’) that
included a civil money penalty of
$10,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Sutherland (a)
failed to maintain the minimum
required adjusted net worth for its fiscal
year 2020; and (b) failed to timely notify
FHA of an adjusted net worth deficiency
in its fiscal year 2020.
45. United Security Financial Corp.,
Murray, UT [Docket No. 21–2207–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with United Security
Financial Corp. (‘‘United Security’’) that
included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: United Security
failed to timely notify FHA of a state
sanction in its fiscal year 2020.
46. US Direct Lender, La Canada
Flintridge, CA [Docket No. 21–2143–MR]
Action: On June 16, 2022, the Board
voted to enter into a settlement
agreement with US Direct Lender (‘‘US
PO 00000
Frm 00081
Fmt 4703
Sfmt 4703
Direct’’) that included a civil money
penalty of $25,490. The settlement did
not constitute an admission of liability
or fault.
Cause: The Board took this action
based on the following alleged
violations of FHA requirements: US
Direct (a) falsely certified in its
application for FHA approval that it had
not been subject to any regulatory
actions; (b) failed to timely notify FHA
of a state sanction in its fiscal year 2020;
and (c) submitted to FHA a false
certification concerning its fiscal year
2020.
47. Watermark Capital, Inc., Irvine, CA
[Docket No. 22–2034–MR]
Action: On September 15, 2022, the
Board voted to enter into a settlement
agreement with Watermark Capital, Inc.
(‘‘Watermark’’) that included a civil
money penalty of $5,000. The
settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Watermark failed
to timely notify FHA of a state sanction
in its fiscal year 2021.
48. Western Ohio Mortgage Corporation,
Sidney, OH [Docket No. 21–2248–MR]
Action: On February 24, 2022, the
Board voted to enter into a settlement
agreement with Western Ohio Mortgage
Corporation (‘‘Western Ohio’’) that
included a civil money penalty of
$15,245. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Western Ohio (a)
failed to timely notify FHA of a state
sanction in its fiscal year 2020; and (b)
submitted to FHA a false certification
concerning its fiscal year 2020.
49. Wyndham Capital Mortgage, Inc.,
Charlotte, NC [Docket No. 21–2204–MR]
Action: On December 7, 2021, the
Board voted to enter into a settlement
agreement with Wyndham Capital
Mortgage, Inc. (‘‘Wyndham’’) that
included a civil money penalty of
$5,000. The settlement did not
constitute an admission of liability or
fault.
Cause: The Board took this action
based on the following alleged violation
of FHA requirements: Wyndham failed
to timely notify FHA of a state sanction
in its fiscal year 2020.
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ddrumheller on DSK120RN23PROD with NOTICES1
II. Lenders That Failed To Timely Meet
Requirements for Annual
Recertification of FHA Approval but
Came Into Compliance.
Action: The Board entered into
settlement agreements with the
following lenders, which required the
lender to pay a civil money penalty
without admitting fault or liability.
Cause: The Board took these actions
based upon allegations that the listed
lenders failed to comply with FHA’s
annual recertification requirements in a
timely manner.
The following lenders paid civil
money penalties of $10,366:
1. Home Financing Center, Inc., Coral
Gables, FL [Docket No. 22–2057–
MRT]
2. Magnolia Bank, Magnolia, KY [Docket
No. 22–2032–MRT]
3. Obsidian Financial Services, Inc.,
Melbourne, FL [Docket No. 22–
2043–MRT]
4. Republic First Bank d/b/a Republic
Bank, Philadelphia, PA [Docket No.
22–2063–MRT]
The following lender paid civil
money penalties of $10,245:
Industrial Bank NA, Washington, DC
[Docket No. 21–2230–MRT]
The following lenders paid civil
money penalties of $5,000.
1. A Plus Mortgage Services Inc.,
Muskego, WI [Docket No. 22–2044–
MRT]
2. Accunet Mortgage L.L.C., Waukesha,
WI [Docket No. 22–2046–MRT]
3. Advantis Credit Union, Milwaukie,
OR [Docket No. 22–2031–MRT]
4. Augusta Financial Inc., Santa Clarita,
CA [Docket No. 22–2053–MRT]
5. Bank, Wapello, IA [Docket No. 22–
2033–MRT]
6. GenHome Mortgage Corporation
f/k/a Beckam Funding Corp., Irvine,
CA [Docket No. 21–2237–MRT]
7. Devon Bank, Chicago, Il [Docket No.
22–2016–MRT]
8. First Service Credit Union, Houston,
TX [Docket No. 22–2030–MRT]
9. Forbright Bank, Chevy Chase, MD
[Docket No. 22–2039–MRT]
10. Statebridge Company, L.L.C.,
Greenwood Village, CO [Docket No.
22–2050–MRT]
11. Verve, a Credit Union, Oshkosh, WI
[Docket No. 22–2042–MRT]
Julia R. Gordon,
Assistant Secretary for Housing—Federal
Housing Administration, Mortgagee Review
Board, Chairperson.
[FR Doc. 2023–05978 Filed 3–22–23; 8:45 am]
BILLING CODE 4210–67–P
VerDate Sep<11>2014
19:23 Mar 22, 2023
Jkt 259001
DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
Receipt of Incidental Take Permit
Application and Proposed Habitat
Conservation Plan for the Sand Skink
and Blue-Tailed Mole Skink; Polk
County, FL; Categorical Exclusion
Fish and Wildlife Service,
Interior.
ACTION: Notice of availability; request
for comments and information.
AGENCY:
We, the Fish and Wildlife
Service (Service), announce receipt of
an application from Luxer Development,
LLC (applicant) for an incidental take
permit (ITP) under the Endangered
Species Act. The applicant requests the
ITP to take the federally threatened sand
skink (Plestiodon reynoldsi) and the
federally threatened blue-tailed moleskink (Eumeces egregius lividus)
incidental to the construction of a
residential development in Polk County,
Florida. We request public comment on
the application, which includes the
applicant’s proposed habitat
conservation plan (HCP), and on the
Service’s preliminary determination that
the proposed permitting action may be
eligible for a categorical exclusion
pursuant to the Council on
Environmental Quality’s National
Environmental Policy Act (NEPA)
regulations, the Department of the
Interior’s (DOI) NEPA regulations, and
the DOI Departmental Manual. To make
this preliminary determination, we
prepared a draft environmental action
statement and low-effect screening form,
both of which are also available for
public review. We invite comment from
the public and local, State, Tribal, and
Federal agencies.
DATES: We must receive your written
comments on or before April 24, 2023.
ADDRESSES:
Obtaining Documents: You may
obtain copies of the documents online
in Docket No. FWS–R4–ES–2023–0028
at https://www.regulations.gov.
Submitting Comments: If you wish to
submit comments on any of the
documents, you may do so in writing by
one of the following methods:
• Online: https://
www.regulations.gov. Follow the
instructions for submitting comments
on Docket No. FWS–R4–ES–2023–0028.
• U.S. mail: Public Comments
Processing, Attn: Docket No. FWS–R4–
ES–2023–0028; U.S. Fish and Wildlife
Service, MS: PRB/3W, 5275 Leesburg
Pike, Falls Church, VA 22041–3803.
PO 00000
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FOR FURTHER INFORMATION CONTACT:
Alfredo Begazo, by U.S. mail (see
via telephone at 772–469–
4234 or by email at alfredo_begazo@
fws.gov. Individuals in the United States
who are deaf, deafblind, hard of hearing,
or have a speech disability may dial 711
(TTY, TDD, or TeleBraille) to access
telecommunications relay services.
Individuals outside the United States
should use the relay services offered
within their country to make
international calls to the point-ofcontact in the United States.
SUPPLEMENTARY INFORMATION: We, the
Fish and Wildlife Service (Service),
announce receipt of an application from
Luxer Development, LLC (applicant) for
an incidental take permit (ITP) under
the Endangered Species Act of 1973, as
amended (ESA; 16 U.S.C. 1531 et seq.).
The applicant requests the ITP to take
the federally listed sand skink
(Plestiodon reynoldsi) and blue-tailed
mole-skink (Eumeces egregius lividus)
(skinks) incidental to the construction
and use of a residential development in
Polk County, Florida. We request public
comment on the application, which
includes the applicant’s habitat
conservation plan (HCP), and on the
Service’s preliminary determination that
this proposed ITP qualifies as ‘‘low
effect,’’ and may qualify for a categorical
exclusion pursuant to the Council on
Environmental Quality’s National
Environmental Policy Act (NEPA)
regulations (40 CFR 1501.4), the
Department of the Interior’s (DOI) NEPA
regulations (43 CFR 46), and the DOI’s
Departmental Manual (516 DM
8.5(C)(2)). To make this preliminary
determination, we prepared a draft
environmental action statement and
low-effect screening form, both of which
are also available for public review.
ADDRESSES),
[Docket No. FWS–R4–ES–2023–0028;
FXES11130400000–223–FF04EF4000]
SUMMARY:
17597
Proposed Project
The applicant requests a 5-year ITP to
take the two skink species via the
conversion of approximately 13.69 acres
(ac) of occupied nesting, foraging, and
sheltering skink habitat incidental to the
construction and use of a residential
development on a 114.35-ac parcel in
Sections 32 and 33, Township 28 South,
Range 28 East in Polk County, Florida.
The applicant proposes to mitigate for
take of the skinks by purchasing credits
equivalent to 27.38 ac of skink-occupied
habitat from a Service-approved
conservation bank. The Service would
require the applicant to purchase the
credits prior to engaging in any
construction of the project.
Public Availability of Comments
Before including your address, phone
number, email address, or other
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]]>Agencies
[Federal Register Volume 88, Number 56 (Thursday, March 23, 2023)]
[Notices]
[Pages 17591-17597]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-05978]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-6379-N-01]
Mortgagee Review Board: Administrative Actions
AGENCY: Office of the Assistant Secretary for Housing-Federal Housing
Commissioner, Department of Housing and Urban Development, HUD.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: In compliance with the National Housing Act, this notice
advises of the cause and description of administrative actions taken by
HUD's Mortgagee Review Board against FHA-approved mortgagees in fiscal
year 2022.
FOR FURTHER INFORMATION CONTACT: Nancy A. Murray, Secretary to the
Mortgagee Review Board, 451 Seventh Street SW, Room B-133, Washington,
DC 20410-8000; telephone (202) 402-2701 (this is not a toll-free
number). HUD welcomes and is prepared to receive calls from individuals
who are deaf or hard of hearing, as well as individuals with speech or
communication disabilities. To learn more about how to make an
accessible telephone call, please visit https://www.fcc.gov/consumers/guides/telecommunications-relay-service-trs.
SUPPLEMENTARY INFORMATION: Section 202(c)(5) of the National Housing
Act (12 U.S.C. 1708(c)(5)) requires that HUD ``publish in the Federal
Register a description of and the cause for administrative action
against a[n FHA-approved] mortgagee'' by HUD's Mortgagee Review Board
(``Board''). In compliance with the requirements of section 202(c)(5),
this Notice advises of actions that have been taken by the Board in its
meetings from the beginning of fiscal year 2022, October 1, 2021,
through September 30, 2022,
[[Page 17592]]
where settlement agreements have been reached, civil money penalties
were imposed, or FHA participation was terminated as of February 21,
2023.
I. Civil Money Penalties, Withdrawals of FHA Approval, Suspensions,
Probations, and Reprimands
1. AlaskaUSA Mortgage Company L.L.C., Anchorage, AK [Docket No. 22-
2007-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with AlaskaUSA Mortgage Company L.L.C.
(``AlaskaUSA'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: AlaskaUSA failed to timely notify FHA of
a state sanction in its fiscal year 2021.
2. American Lending, Inc., Costa Mesa, CA [Docket No. 21-2185-MR]
Action: On February 24, 2022, the Board voted to withdraw American
Lending, Inc. (``American Lending'') for a period of three years.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: American Lending (a) failed to timely
notify FHA of a state sanction in its fiscal year 2020; (b) submitted
to FHA a false certification concerning its fiscal year 2020; (c)
failed to maintain in its fiscal year 2020 the minimum required
adjusted net worth; (d) failed to timely notify FHA of its minimum
adjusted net worth deficiency in its fiscal year 2020; (e) failed to
maintain the minimum required liquid assets in its fiscal year 2020;
(f) failed to timely notify FHA of a required liquid assets deficiency
in its fiscal year 2020; (g) failed to maintain a warehouse line of
credit or other acceptable mortgage-funding program in its fiscal years
2020 and 2021; (h) failed to timely notify FHA of a funding program
deficiency in its fiscal year 2020; (i) failed to timely notify FHA of
a change in principal ownership in its fiscal year 2021; and (j) failed
to comply with FHA underwriting requirements concerning one FHA-insured
mortgage loan.
3. Ark-La-Tex Financial Services L.L.C. d/b/a Benchmark, L.L.C., Plano,
TX [Docket No. 21-2191-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Ark-La-Tex Financial Services L.L.C. d/b/a
Benchmark (``Benchmark'') that included a civil money penalty of
$5,000. The settlement did not constitute an admission of liability or
fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Benchmark (a) failed to timely notify
FHA of an unresolved finding in its fiscal year 2020; and (b) failed to
timely notify FHA of a state sanction in its fiscal year 2020.
4. Aurora Financial Group, Wall Township, NJ [Docket No. 21-2235-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Aurora Financial Group (``Aurora'') that
included a civil money penalty of $15,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Aurora: (a) failed to timely notify FHA
of a state sanction in its fiscal year 2020; (b) failed to timely
notify FHA of a state sanction in its fiscal year 2021; and (c) failed
to timely notify FHA of a second state sanction in its fiscal year
2021.
5. Bay to Bay Lending, L.L.C., Tampa, FL [Docket No. 21-2234-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Bay to Bay Lending, L.L.C. (``Bay to Bay'')
that included a civil money penalty of $40,490. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Bay to Bay: (a) failed to timely submit
acceptable annual audited financial statements and supplemental reports
for its fiscal year 2020; (b) failed to maintain the minimum required
adjusted net worth throughout its fiscal year 2020; (c) failed to
timely notify FHA of its minimum adjusted net worth deficiency for its
fiscal year 2020; (d) failed to timely notify FHA of an operating loss
in a fiscal quarter that exceeded 20 percent of its net worth in its
fiscal year 2020; (e) failed to file the required quarterly financial
statements subsequent to an operating loss exceeding 20 percent of its
quarter-end net worth in its fiscal year 2020; and (f) failed to timely
notify FHA of a change in principal ownership in its fiscal year 2020.
6. Beeline Loans, Inc., Providence, RI [Docket No. 21-2136-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Beeline Loans, Inc. (``Beeline'') that
included a civil money penalty of $15,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Beeline: (a) failed to timely notify
FHA of an operating loss in a fiscal quarter that exceeded 20 percent
of its net worth in its fiscal year 2020; (b) failed to file the
required quarterly financial statements subsequent to an operating loss
exceeding 20 percent of its quarter-end net worth in its fiscal year
2021; and (c) failed to file the required quarterly financial
statements subsequent to an operating loss exceeding 20 percent of its
quarter-end net worth in its fiscal year 2021.
7. Bellwether Enterprise Real Estate Capital, Cleveland, OH [Docket No.
21-2229-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Bellwether Enterprise Real Estate Capital
(``Bellwether'') that included an administrative payment of $341,500.
The settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA's requirements: Bellwether obtained loan fees in
excess of five percent for five loans that received reduced Mortgage
Insurance Premium (``MIP'') rates under the Affordable and Green MIP
Programs.
8. BNB Financial, Inc., Glendale, CA [Docket No. 21-2252-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with BNB Financial, Inc. (``BNB'') that included a
civil money penalty of $15,245. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: BNB (a) failed to timely notify FHA of
a state sanction in its fiscal year 2021; and (b) submitted to FHA a
false certification concerning its fiscal year 2021.
9. Broker Solutions, Inc., Tustin, CA
Action: On February 24, 2022, the Board voted to concur on a
settlement of a False Claims Act lawsuit initiated by a realtor against
Broker Solutions, Inc. d/b/a New American Funding (``Broker
Solutions'') and that included a payment of $702,000 to FHA. The
settlement did not constitute an admission of liability or fault.
[[Page 17593]]
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Broker Solutions (a) improperly
compensated employees performing underwriting activities on a
commission basis; (b) authorized certain managers or salespersons to
override FHA and other government underwriting requirements; (c) took
steps to improperly increase the appraised value of properties; (d)
manipulated borrower income and debt information to improperly approve
loans through TOTAL Mortgage Scorecard; and (e) withheld underwriting
deficiencies identified by quality control auditors from FHA and other
government entities.
10. Chu & Associates, Inc., d/b/a Fidelity Funding Bancorp, Pasadena,
CA [Docket No. 21-2245-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Chu & Associates, Inc. (``Chu'') that
included a civil money penalty of $30,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Chu (a) failed to maintain the minimum
required adjusted net worth in its fiscal years 2020 and 2021; (b)
failed to timely notify FHA of its adjusted net worth deficiency in its
fiscal years 2020 and 2021; (c) failed to maintain the minimum required
liquid assets in its fiscal year 2020; and (d) failed to timely notify
FHA of a liquid asset deficiency in its fiscal year 2020.
11. Cliffco Inc., Uniondale, NY [Docket No. 22-2205-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Cliffco Inc. (``Cliffco'') that included a
civil money penalty of $5,000. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Cliffco failed to timely notify FHA of a
state sanction in its fiscal year 2021.
12. Coastal States Mortgage, Inc., Hilton Head Island, SC [Docket No.
21-2202-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Coastal States Mortgage, Inc. (``Coastal
States'') that included a civil money penalty of $5,000. The settlement
did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirement. Coastal States (a) failed to report an
unresolved finding in its fiscal year 2019; and (b) failed to timely
report a state sanction in its fiscal year 2019.
13. Columbus Capital Lending, L.L.C., d/b/a Zoom Loans, Miami, FL
[Docket No. 22-2006-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Columbus Capital Lending, L.L.C. d/b/a Zoom
Loans (``Zoom Loans'') that included a civil money penalty of $15,245.
The settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements. Zoom Loans (a) failed to timely notify
FHA of a state sanction in its fiscal year 2020; and (b) submitted to
FHA a false certification concerning its fiscal year 2020.
14. Contour Mortgage Corporation, Garden City, NY [Docket No. 21-2195-
MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Contour Mortgage Corporation (``Contour'')
that included a civil money penalty of $25,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements. Contour (a) failed to timely notify FHA
of a state sanction in its fiscal years 2018 and 2020; (b) failed to
timely notify FHA of a state sanction against its employee in its
fiscal year 2018; and (c) submitted to FHA a false certification
concerning its fiscal year 2018.
15. Credence Funding Corporation, Aberdeen, MD [Docket No. 22-2002-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Credence Funding Corporation (``Credence'')
that included a civil money penalty of $15,245. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Credence (a) failed to timely notify
FHA of a state sanction in its fiscal year 2019; and (b) submitted to
FHA a false certification concerning its fiscal year 2019.
16. Del Sur Corporation, San Fernando, CA [Docket No. 20-2145-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Del Sur Corporation (``Del Sur'') that
included a civil money penalty of $38,977. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Del Sur failed to maintain an escrow
account to segregate escrow commitment deposits, work completion
deposits, and all periodic payments received for loans or insured
mortgages on account of ground rents, taxes, assessments and insurance
charges or premiums in its fiscal years 2017, 2018, 2019, and 2020.
17. Dwight Capital LLC, New York, NY [Docket No. 21-2166-MR]
Action: On September 15, 2022, the Board voted to enter into a
settlement agreement with Dwight Capital LLC (``Dwight'') that included
a civil money penalty of $16,000,000, execution of 24 life-of-loan
indemnifications, and a corrective action plan. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Dwight (a) obtained loan fees in excess
of five percent for five loans that received reduced MIP rates under
FHA's Green MIP Program; (b) engaged in prohibited business practices,
(c) failed to adopt a Quality Control (``QC'') Program that fully
complied with HUD requirements; (d) failed to comply with its QC
Program, (e) engaged in business practices that do not conform to
generally accepted practices of prudent mortgagees; (f) failed to
disclose identity of interest (``IOI'') relationships; (g) failed to
properly disclose and review IOI borrowers; (h) submitted to FHA false
statements and false certifications; (i) submitted false information to
the Mortgagee Review Board; and (j) violated use and disclosure
requirements regarding brokers.
18. Evesham Mortgage L.L.C., Marlton, NJ [Docket No. 21-2246-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Evesham Mortgage L.L.C. (``Evesham'') that
included a civil money penalty of $59,567, and execution of five life-
of loan indemnifications. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
[[Page 17594]]
violations of FHA requirements: Evesham (a) failed to properly verify
and document effective income on two loans; (b) failed to properly
document gift funds for nine loans; (c) failed to properly document
borrowers' funds to close for two loans; (d) failed to document that a
borrower whose underwriting approval relied on the use of retirement
account assets was both eligible to make withdrawals and did, in fact,
make the withdrawals; (e) failed to include all required documentation
in the case binders for two loans; (f) failed to timely notify FHA of a
state sanction in its fiscal year 2020; and (g) submitted to FHA a
false certification concerning its fiscal year 2020.
19. Fairway Independent Mortgage Corporation, Madison, WI [Docket No.
21-2192-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Fairway Independent Mortgage Corporation
(``Fairway'') that included a civil money penalty of $96,960. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Fairway (a) failed to adopt and
implement a QC Plan in compliance with FHA requirements; and (b) failed
to comply with FHA's self-reporting requirements to ensure it reported
to FHA all fraud, misrepresentation, and other findings.
20. Finco Mortgage L.L.C., Scottsdale, AZ [Docket No. 22-2004-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Finco Mortgage L.L.C. d/b/a Minute Mortgage
(``Minute Mortgage'') that included a civil money penalty of $10,000.
The settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Minute Mortgage (a) failed to maintain
the minimum required adjusted net worth in its fiscal year 2021; and
(b) failed to timely notify FHA of its minimum adjusted net worth
deficiency in its fiscal year 2021.
21. GoodLeap, LLC, Roseville, CA [Docket No. 21-2250-MR]
Action: On September 15, 2022, the Board voted to enter into a
settlement agreement with GoodLeap, LLC (``GoodLeap'') that included a
civil money penalty of $35,245. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: GoodLeap (a) failed to timely notify
FHA of an operating loss in a fiscal quarter that exceeded 20 percent
of its net worth in its fiscal year 2020 and fiscal year 2021; (b)
failed to file the required quarterly financial statements subsequent
to an operating loss exceeding 20 percent of its quarter-end net worth
in its fiscal year 2020 and fiscal year 2021; (c) failed to timely
notify FHA of a state sanction in its fiscal year 2020; and (d)
submitted to FHA a false certification concerning its fiscal year 2020.
22. Grande Homes, Inc., National City, CA [Docket No. 21-2249-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Grande Homes, Inc. (``Grande Homes'') that
included a civil money penalty of $5,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Grande Homes violated FHA requirements
by failing to timely notify FHA of a change of its principal ownership
in its fiscal year 2020.
23. Greystone Funding Company L.L.C., Atlanta, GA [Docket No. 22-2019-
MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Greystone Funding Company L.L.C.
(``Greystone'') that included a civil money penalty of $4,801,340 and
required Greystone to update its training materials; improve its
underwriting processes; institute review by senior staff and, if
necessary, its legal department; instruct its team to err on the side
of disclosure; expand its IOI screening; and amend its QC plan to
clarify it reporting obligations. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Greystone: (a) falsely certified in
three instances in each of twenty Section 223(a)(7) refinance
applications submitted by Greystone in 2020 and 2021; (b) failed to
disclose an ongoing Department of Justice investigation into the
borrower's projects and companies; and (c) failed to disclose an IOI
with the borrower.
24. Heartland Bank and Trust Company, Bloomington, IL [Docket No. 21-
2209-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Heartland Bank and Trust Company
(``Heartland'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Heartland violated FHA requirements by
failing to timely notify FHA of change in its business structure in
fiscal year 2020.
25. Jet Direct Funding Corp. d/b/a Jet Direct Mortgage, Bay Shore, NY
[Docket No. 20-2019-MR]
Action: On May 18, 2021, the Board voted to enter into a settlement
agreement with Jet Direct Funding Corp. d/b/a Jet Direct Mortgage
(``Jet Direct'') that included a civil money penalty of $19,819. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Jet Direct (a) failed to timely notify
FHA of a state sanction in its fiscal year 2018; (b) failed to timely
notify FHA of a state sanction in its fiscal year 2019; and (c)
submitted to FHA a false certification concerning its fiscal year 2018.
26. JSB Mortgage Corporation, La Mirada, CA [Docket No. 20-2067-MR]
Action: On September 21, 2021, the Board voted to impose a civil
money penalty of $25,134 against JSB Mortgage Corporation (``JSB'').
Cause: The Board took this action based on the following alleged
violations of FHA requirements: JSB (a) failed to timely notify FHA of
a state sanction in its fiscal year 2019; (b) submitted to FHA a false
certification concerning its fiscal year 2019; and (c) permitted its
Officer in Charge to engage in dual employment.
27. Manhattan Financial Group, Inc., Escondido, CA [Docket No. 21-2206-
MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Manhattan Financial Group, Inc. (``Manhattan
Financial'') that included a civil money penalty of $10,067. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Manhattan
[[Page 17595]]
Financial failed to timely notify FHA of a state sanction in its fiscal
year 2019.
28. Mortgage Clearing Corporation, Tulsa, OK [Docket No. 21-2253-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Mortgage Clearing Corporation (``Mortgage
Clearing'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Mortgage Clearing failed to timely
notify FHA of a state sanction in its fiscal year 2021.
29. Mortgage Solutions of Colorado L.L.C., Colorado Springs, CO [Docket
No. 22-2013-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Mortgage Solutions of Colorado L.L.C.
(``Mortgage Solutions'') that included a civil money penalty of
$15,366. The settlement did not constitute an admission of liability or
fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Mortgage Solutions (a) failed to timely
notify FHA of a state sanction in its fiscal year 2020; and (b)
submitted to FHA a false certification concerning its fiscal year 2020.
30. New England Regional Mortgage Corporation, Salem, NH [Docket No.
22-2009-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with New England Regional Mortgage Corp (``New
England Regional'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: New England Regional failed to timely
notify FHA of a state sanction in its fiscal year 2021.
31. North American Financial Corporation, Henderson, NV [Docket No. 21-
2214-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with North American Financial Corporation (``North
American'') that included a civil money penalty of $25,500. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: North American (a) originated 33 FHA
loans between February 8, 2017 and August 27, 2018 without the
appropriate state license; and (b) failed to timely notify FHA of a
state sanction in its fiscal year 2020.
32. Pacific Horizon Bancorp, La Crescenta, CA [Docket No. 22-2018-MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Pacific Horizon Bancorp (``Pacific Horizon'')
that included a civil money penalty of $15,245. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Pacific Horizon (a) failed to timely
notify FHA of a state sanction in its fiscal year 2020; and (b)
submitted to FHA a false certification concerning its fiscal year 2020.
33. Poli Mortgage Group, Norwood, MA [Docket No. 22-2012-MR]
Action: On September 15, 2022, the Board voted to enter into a
settlement agreement with Poli Mortgage Group (``Poli'') that included
a civil money penalty of $15,245. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Poli (a) failed to timely notify FHA of
a state sanction in its fiscal year 2020; and (b) submitted to FHA a
false certification concerning its fiscal year 2020.
34. ReNew Lending, Inc., Reno, NV [Docket No. 21-2254-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Renew Lending, Inc. (``ReNew'') that included
a civil money penalty of $10,000. The settlement did not constitute an
admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: ReNew (a) failed to maintain the
minimum required liquid assets in its fiscal year 2020; and (b) failed
to timely notify FHA of a liquid assets deficiency in its fiscal year
2020.
35. Residential Acceptance Corporation, L.L.C., Tampa, FL [Docket No.
21-2198-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Residential Acceptance Corporation, L.L.C.
(``Residential Acceptance'') that included a civil money penalty of
$30,490 and indemnification of one loan. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Residential Acceptance (a) failed to
properly validate assets and resolve conflicting information during
underwriting; (b) failed to meet FHA requirements in documenting gift
funds; and (c) failed to timely notify FHA of two state sanctions in
its fiscal year 2021.
36. Residential Mortgage Funding Inc., Orange, CA [Docket No. 22-2003-
MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Residential Mortgage Funding, Inc.
(``Residential Mortgage'') that included a civil money penalty of
$15,245. The settlement did not constitute an admission of liability or
fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Residential Mortgage (a) failed to
timely notify FHA of a state sanction in its fiscal year 2020; and (b)
submitted to FHA a false certification concerning its fiscal year 2020.
37. Ruoff Mortgage Company Inc., Fort Wayne, IN [Docket No. 21-2183-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Ruoff Mortgage Company Inc. (``Ruoff'') that
included a civil money penalty of $5,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Ruoff failed to timely notify FHA of a
state sanction in its fiscal year 2020.
38. Rushmore Loan Management Services, L.L.C., Dallas, TX [Docket No.
22-2010-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Rushmore Loan Management Services
(``Rushmore'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Rushmore failed to timely notify FHA of
a state sanction in its fiscal year 2020.
[[Page 17596]]
39. Sente Mortgage Inc., Austin, TX [Docket No. 22-2022-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Sente Mortgage, Inc. (``Sente'') that
included a civil money penalty of $15,366. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Sente (a) failed to timely notify FHA in
its fiscal year 2021 of a state sanction; and (b) submitted to FHA a
false certification concerning its fiscal year 2021.
40. ServiceMac L.L.C., Fort Mill, SC [Docket No. 21-2203-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with ServiceMac, L.L.C. (``ServiceMac'') that
included a civil money penalty of $20,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: ServiceMac (a) failed on four occasions
to timely notify FHA of an operating loss in a fiscal quarter that
exceeded 20 percent of its net worth in its fiscal year 2019; and (b)
failed to file the required quarterly financial statements subsequent
to an operating loss exceeding 20 percent of its quarter-end net worth
in its fiscal year.
41. SouthPoint Financial Services, Inc., Alpharetta, GA [Docket No. 22-
2021-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with SouthPoint Financial Services, Inc.
(``SouthPoint'') that included a civil money penalty of $10,067 and
execution of one 5-year indemnification agreement. The settlement did
not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Southpoint failed to adequately document
the transfer of gift funds for an FHA insured loan.
42. Statewide Funding Inc., Ontario, CA [Docket No. 21-2215-MR]
Action: On September 15, 2022, the Board voted to enter into a
settlement agreement with Statewide Funding, Inc. (``Statewide'') that
included a civil money penalty of $25,366 and Statewide's submission of
quarterly financial statements to FHA for one year. The settlement did
not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: Statewide (a) failed to maintain in its
fiscal years 2019, 2020, and 2021 the minimum required adjusted net
worth; and (b) failed to timely notify FHA of its adjusted net worth
deficiency in its fiscal year 2020.
43. Sunmark Credit Union, Latham, NY [Docket No.21-2200-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Sunmark Credit Union (``Sunmark'') that
included a civil money penalty of $10,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Sunmark failed to timely notify FHA of
two changes in its business structure (in, respectively, December 2018
and May 2019) involving Sunmark and two non-FHA approved credit unions.
44. Sutherland Mortgage Services Inc., Sugar Land, TX [Docket No. 21-
2247-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with Sutherland Mortgage Services Inc.
(``Sutherland'') that included a civil money penalty of $10,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Sutherland (a) failed to maintain the
minimum required adjusted net worth for its fiscal year 2020; and (b)
failed to timely notify FHA of an adjusted net worth deficiency in its
fiscal year 2020.
45. United Security Financial Corp., Murray, UT [Docket No. 21-2207-MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with United Security Financial Corp. (``United
Security'') that included a civil money penalty of $5,000. The
settlement did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: United Security failed to timely notify
FHA of a state sanction in its fiscal year 2020.
46. US Direct Lender, La Canada Flintridge, CA [Docket No. 21-2143-MR]
Action: On June 16, 2022, the Board voted to enter into a
settlement agreement with US Direct Lender (``US Direct'') that
included a civil money penalty of $25,490. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violations of FHA requirements: US Direct (a) falsely certified in its
application for FHA approval that it had not been subject to any
regulatory actions; (b) failed to timely notify FHA of a state sanction
in its fiscal year 2020; and (c) submitted to FHA a false certification
concerning its fiscal year 2020.
47. Watermark Capital, Inc., Irvine, CA [Docket No. 22-2034-MR]
Action: On September 15, 2022, the Board voted to enter into a
settlement agreement with Watermark Capital, Inc. (``Watermark'') that
included a civil money penalty of $5,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Watermark failed to timely notify FHA of
a state sanction in its fiscal year 2021.
48. Western Ohio Mortgage Corporation, Sidney, OH [Docket No. 21-2248-
MR]
Action: On February 24, 2022, the Board voted to enter into a
settlement agreement with Western Ohio Mortgage Corporation (``Western
Ohio'') that included a civil money penalty of $15,245. The settlement
did not constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Western Ohio (a) failed to timely notify
FHA of a state sanction in its fiscal year 2020; and (b) submitted to
FHA a false certification concerning its fiscal year 2020.
49. Wyndham Capital Mortgage, Inc., Charlotte, NC [Docket No. 21-2204-
MR]
Action: On December 7, 2021, the Board voted to enter into a
settlement agreement with Wyndham Capital Mortgage, Inc. (``Wyndham'')
that included a civil money penalty of $5,000. The settlement did not
constitute an admission of liability or fault.
Cause: The Board took this action based on the following alleged
violation of FHA requirements: Wyndham failed to timely notify FHA of a
state sanction in its fiscal year 2020.
[[Page 17597]]
II. Lenders That Failed To Timely Meet Requirements for Annual
Recertification of FHA Approval but Came Into Compliance.
Action: The Board entered into settlement agreements with the
following lenders, which required the lender to pay a civil money
penalty without admitting fault or liability.
Cause: The Board took these actions based upon allegations that the
listed lenders failed to comply with FHA's annual recertification
requirements in a timely manner.
The following lenders paid civil money penalties of $10,366:
1. Home Financing Center, Inc., Coral Gables, FL [Docket No. 22-2057-
MRT]
2. Magnolia Bank, Magnolia, KY [Docket No. 22-2032-MRT]
3. Obsidian Financial Services, Inc., Melbourne, FL [Docket No. 22-
2043-MRT]
4. Republic First Bank d/b/a Republic Bank, Philadelphia, PA [Docket
No. 22-2063-MRT]
The following lender paid civil money penalties of $10,245:
Industrial Bank NA, Washington, DC [Docket No. 21-2230-MRT]
The following lenders paid civil money penalties of $5,000.
1. A Plus Mortgage Services Inc., Muskego, WI [Docket No. 22-2044-MRT]
2. Accunet Mortgage L.L.C., Waukesha, WI [Docket No. 22-2046-MRT]
3. Advantis Credit Union, Milwaukie, OR [Docket No. 22-2031-MRT]
4. Augusta Financial Inc., Santa Clarita, CA [Docket No. 22-2053-MRT]
5. Bank, Wapello, IA [Docket No. 22-2033-MRT]
6. GenHome Mortgage Corporation f/k/a Beckam Funding Corp., Irvine, CA
[Docket No. 21-2237-MRT]
7. Devon Bank, Chicago, Il [Docket No. 22-2016-MRT]
8. First Service Credit Union, Houston, TX [Docket No. 22-2030-MRT]
9. Forbright Bank, Chevy Chase, MD [Docket No. 22-2039-MRT]
10. Statebridge Company, L.L.C., Greenwood Village, CO [Docket No. 22-
2050-MRT]
11. Verve, a Credit Union, Oshkosh, WI [Docket No. 22-2042-MRT]
Julia R. Gordon,
Assistant Secretary for Housing--Federal Housing Administration,
Mortgagee Review Board, Chairperson.
[FR Doc. 2023-05978 Filed 3-22-23; 8:45 am]
BILLING CODE 4210-67-P
