HUD’s IG Recommends Action vs. Failed Lender for RESPA Violation
August 11, 2008
The Department of Housing and Urban Development’s Inspector General has recommended the removal of wholesaler First Magnus Financial Corp.’s approval to originate mortgages for FHA insurance due to illegal payments to mortgage brokers. That may be moot since the lender is no longer in business. Going under, however, does not necessarily mean that the owner and top executives of defunct...