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Four Stockbroker Giants Fined Millions For Selling Risky Investments

by Brian Mahany
Everyday we seem to encounter another story of a big bank doing something wrong. Often it has to do with mortgage lending and foreclosure practices. Sometimes it involves helping Ponzi scheme fraudsters hide their crimes. Today’s story involves Citi, Wells Fargo, UBS and Morgan Stanley and their sale of risky investments.
According to a [...]

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TD Bank Accused Of Fraud (Again)

by Brian Mahany
Big banks have not been getting good press these days and this post is no exception. Earlier this year, TD Bank suffered a startling setback when it was found to have “aided and abetted” fraud. A civil jury then sanctioned the bank with a $67 million dollar judgment. Do you think they learned [...]

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Prison Sentences For Tax Crimes Increased Up 40%

by Brian Mahany
The numbers are out and they aren’t good for people convicted of tax crimes. While the U.S. Department of Justice Tax Division has always enjoyed a very high conviction rate, many people convicted of tax crimes never went to jail. Not anymore.
According to the latest statistics, jail sentences have increased by 40% over [...]

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Appraisal Fraud Alive And Well

by Brian Mahany
Mortgage fraud comes in many flavors. We see lenders engaging in predatory lending practices, shady brokers writing bad loans (meaning sure defaults and that means taxpayers holding the bag), banks that defraud their own employees of commissions and of course, loan servicers that engage in widespread foreclosure fraud.  Appraisers have their fair share [...]

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California Dems Kill Mortgage Reform Bill

by Brian Mahany
Democrats in the California Assembly’s Banking and Finance Committee derailed two important pro-homeowner bills aimed at curbing foreclosure abuse.  In a surprise move, the democratic legislators sided with the pro business Chamber of Commerce moments before Attorney General Kamala Harris was to testify in support of the measures.
Democrats siding with the Chamber is [...]

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Trust Fund Recovery Penalty Revisited

by Brian Mahany
A Trust Fund Recovery Penalty (”TFRP”) is not a penalty in the traditional sense. It a collection tool used by the IRS as an alternative method of collecting certain taxes from businesses. Under both state and federal law, business insiders and control persons may be held personally responsible for unpaid [...]

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New Hope For Struggling Homeowners!

by Brian Mahany
We have been saying for several months that the tide is beginning to turn against big banks and mortgage lenders. Many courts are beginning to get fed up with the abusive practices of lenders. Recently several state supreme courts have been weighing in on a wide variety issues including missing paperwork, forged affidavits, [...]

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HUD Challenges Marketing Services Agreements

by Brian Mahany
Because we represent homeowners, mortgage company employees and sometimes the interests of taxpayers (federal false claims act cases), we see new frauds and shady deals in the lending industry just about everyday. Some, like forged documents and phony appraisals, are pretty obvious. Others such as sham “marketing services agreements” are tougher to spot.
To [...]

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Catholic University, Former MSHA Chief Accused of Fraud

by Brian Mahany

According to AP wire reports, David McAteer, former director of the United States Mine Safety and Health Administration and West Virginia’s Wheeling Jesuit University have been accused of bilking taxpayers. The accusations were set forth in an affidavit released by an agent from NASA’s Inspector General. A federal grand jury [...]

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