mikelbeck
12-02-2009, 08:46 PM
This is NHRA owner/driver Mike Ashley's company...
http://www.newsday.com/business/feds-target-melville-home-loan-firm-in-fraud-probe-1.1535830
Civil complaint against Lend America and top exec says company manipulated borrowers credentials to help weak clients qualify for FHA loans.
Some things I wasn't aware of:
"Throughout his career in the mortgage industry, Ashley has violated governing regulations, laws and industry bans," the complaint said. "Each company he has worked at has in turn come under scrutiny, causing him to repeatedly move from company to company."
"In October 1993, Ashley pleaded guilty to three counts of conspiracy to commit wire fraud in connection with numerous cases of mortgage fraud while employed by Liberty Mortgage Banking Ltd., which was later convicted of wire fraud."
At Lend America, the company listed Ashley as involved in "marketing," in an attempt to conceal his true role there, the complaint said. What he really did was train the staff to originate FHA-backed mortgages, and to make them quickly - in a day, if possible, the complaint said. His pay was tied to the value of the loans the company made. Thus, the complaint says, in the fiscal year that ended Sept. 30, 2008, when the company made $1.075 billion in loans, Ashley's compensation was $5.375 million."
Ouch.
http://www.newsday.com/business/feds-target-melville-home-loan-firm-in-fraud-probe-1.1535830
Civil complaint against Lend America and top exec says company manipulated borrowers credentials to help weak clients qualify for FHA loans.
Some things I wasn't aware of:
"Throughout his career in the mortgage industry, Ashley has violated governing regulations, laws and industry bans," the complaint said. "Each company he has worked at has in turn come under scrutiny, causing him to repeatedly move from company to company."
"In October 1993, Ashley pleaded guilty to three counts of conspiracy to commit wire fraud in connection with numerous cases of mortgage fraud while employed by Liberty Mortgage Banking Ltd., which was later convicted of wire fraud."
At Lend America, the company listed Ashley as involved in "marketing," in an attempt to conceal his true role there, the complaint said. What he really did was train the staff to originate FHA-backed mortgages, and to make them quickly - in a day, if possible, the complaint said. His pay was tied to the value of the loans the company made. Thus, the complaint says, in the fiscal year that ended Sept. 30, 2008, when the company made $1.075 billion in loans, Ashley's compensation was $5.375 million."
Ouch.