Mortgage Co. Will Pay $48M For Bad FHA Loans

Law360, Washington (January 3, 2017, 2:36 PM EST) -- U.S mortgage company United Shore Financial Services LLC has agreed to a $48 million settlement with the U.S. government for False Claims Act violations stemming from “materially deficient” Federal Housing Administration-insured mortgages it issued between 2006 and 2011.

USFS admitted to improperly pressuring underwriters to approve FHA mortgages, falsely claiming that underwriters personally reviewed appraisal reports for mortgages it endorsed for FHA insurance and failing to make required reports of materially deficient loans to the department of Housing and Urban Development as part of the settlement announced Dec. 28.

“USFS acknowledged that it failed to comply with FHA underwriting and quality...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!