Reporting of Suspected Mortgage Crimes Leveling Off

The reporting of suspected mortgage fraud by financial institutions appears to be leveling off, according to new figures released by the Financial Crimes Enforcement Network, a division of the Treasury Department. During the first six months of 2009, firms reported 32,926 suspected cases of mortgage fraud, a slight 1% increase from the same period a year earlier. Still, FinCEN notes that mortgage fraud cases "remain at a historically high level" after six straight years of double-digit growth. The department also says the reporting of mortgage fraud by depositories (as opposed to nonbanks) is continuing to rise. "FinCEN remains focused on its proactive efforts to assist state, local and federal investigators in efforts to use SARs to crack down on mortgage fraud and foreclosure rescue scams, and to identify other emerging trends and patterns," said FinCEN director James H. Freis. "Fraudulent and criminal activity is seldom static and predictable."