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Home » Store » Government-Insured Lending » Jury Finds Allied Home Mortgage and CEO Liable for FCA, FIRREA Violations, Awards $93 Million in Damages

Jury Finds Allied Home Mortgage and CEO Liable for FCA, FIRREA Violations, Awards $93 Million in Damages

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Government-Insured Lending

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A Texas jury awarded the federal government $93 million in damages after finding entities under the Allied Home Mortgage brand liable for running an illegal net branching scheme and falsely certifying thousands of FHA loans, eventually causing huge losses for the FHA. The case was the first False Claims Act award related to FHA activity made by a jury. Although nearly all lenders have ended up settling FCA cases, Quicken Loans is still actively fighting FCA charges in a jury proceeding. The Department of Housing and Urban Development claims...
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