Flagstar Fined $3.6M By OCC Over Flood Act Compliance
By Al Barbarino (January 20, 2022, 4:53 PM EST) -- Flagstar Bank must pay $3.6 million to settle claims from the Office of the Comptroller of the Currency that it modified loans backing homes in flood hazard areas without first obtaining proof of adequate insurance, a violation of Flood Act requirements, according to a consent order published Thursday.
During the 2020 examination of the Michigan-based bank's Flood Act compliance program, the OCC uncovered violations of Flood Act regulations requiring banks to obtain proof of adequate insurance before they "make, increase, extend, or renew loans" secured by properties in designated "special flood hazard areas," the OCC said.
"The OCC determined that the...
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!