Many lenders may have to reconsider the costs and benefits of FHA lending in light of the federal government’s increasingly litigious approach to redressing FHA losses, warned industry risk experts. Not only has the government begun using the False Claims Act (FCA) with alarming frequency in alleged mortgage fraud cases involving taxpayer funds, but it also has found a companion statute in the federal Program Fraud Civil Remedies Act (PFCRA) of 1986 to increase recovery of FHA losses. In a recent client alert, Canfield & Associates, a government relations and consulting firm in Alexandria, VA, warned ...