Consumer bureau drops $109M fine against NJ lender accused of kickback scheme
Source: The Hill
The Trump administration dropped regulatory action against a New Jersey mortgage lender on Thursday, concluding a four-year dispute between the company and the Consumer Financial Protection Bureau (CFPB).
PHH Corporation, a company based in Mount Laurel, N.J., was accused in 2014 by the agency of running a 15-year kickback scheme, collecting millions in illegal payments for referring business to insurance companies, NJ.com reports.
AmericanBanker.com reported Thursday that acting CFPB chief Mick Mulvaney dismissed the case, writing in a two-paragraph legal filing that the firm did not violate the Real Estate Settlement Procedures Act, a law banning kickbacks for referrals.
"PHH did not violate RESPA if it charged no more than the reasonable market value for the reinsurance it required the mortgage insurers to purchase, even if the reinsurance was a quid pro quo for referrals," Mulvaney wrote in the legal filing.
The CFPB, under former director Richard Cordray, overruled a judge's lower penalty for the lender and ordered the company to pay $109 million in penalties. PHH then sued the agency, and a judge dismissed that fine in January.
A spokesman from the CFPB blasted the former director's "questionable" legal tactics in a statement following the decision.
Read more: http://thehill.com/policy/finance/391467-trump-administration-drops-109-million-fine-against-new-jersey-lender-accused
No surprise that this happened Friday evening.
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are dancing on our country's grave.
Disgusting. Too bad just the deplorables can't suffer from the pillaging and looting.
running the CFPB, thinks that the glory days of creating homelessness is just fine when over 8 million lost homes and the taxpayers paid back the default derivatives market from the banks having there hand in investing instead of lending to insurance companies with a kick back scheme , I really do wish there there were more "state banks" and credit unions , ....................crime pays with Mulvaney.........................FUCK HIM
November 29018 cannot get here fast enough
