Compliance & Regulation

Mike Perry, who led IndyMac Bancorp until its collapse in 2008, is trying to rehabilitate his image, waging a public campaign rarely seen from an executive of a once high flying mortgage lender.

The California Department of Real Estate has revoked the broker license of Bic Pho along with his affiliated corporations Mariposa Mortgage and Vision Quest 21 for multiple acts of mortgage fraud involving the use of straw buyers and falsified loan applications.

The former chairman and commissioner of the Bergen County Improvement Authority who was also a principal in the mortgage brokerage firm Residential Mortgage Corp. recently pleaded guilty for his involvement in a mortgage fraud scheme that falsely claimed company employment for numerous mortgage borrowers.

The Federal Housing Finance Agency pushed back last week against claims that Fannie Mae and Freddie Mac were sophisticated investors that should have done a better job of vetting their purchases of mortgage-backed securities.

One of the lessons learned from previous government efforts to solve complex problems is known as the "law of unintended consequences." According to this concept, whenever the government devises some master program, tax, or regulatory scheme as part of an effort to achieve some purpose, it invariably creates other unpredictable outcomes—the unintended consequences.

Bank examiners are exploring whether the nation's depositories have accurately valued $845 billion of home equity and second liens, according to seven people with direct knowledge of the matter, according to a report by Bloomberg.

It's not looking good for fans of keeping the higher GSE loan limits, but that hasn't stopped housing, realty and mortgage trade groups from promoting the issue through their elected officials.

The Federal Housing Administration is selling 11,000 to 13,000 foreclosed homes a month after re-engineering the way it manages and markets REO.

In his first speech since taking over for Elizabeth Warren as the public face of the Consumer Financial Protection Bureau, Raj Date warned that the agency will take a firm stance when it identifies practices that are harmful for consumers.

House appropriators this week introduced a temporary measure that will continue to fund government operations, including the flood insurance program, through Nov. 18.