Brad Rail

Main Menu

  • Home
  • Local blinds company
  • Blinds specialists
  • Roller blinds
  • Crystal Blinds
  • Debt

Brad Rail

Header Banner

Brad Rail

  • Home
  • Local blinds company
  • Blinds specialists
  • Roller blinds
  • Crystal Blinds
  • Debt
Debt
Home›Debt›Deloitte to pay US $ 149.5 million for bankrupt mortgage lender

Deloitte to pay US $ 149.5 million for bankrupt mortgage lender

By Monica Hernandez
March 23, 2021
0
0

Through Jonathan stempel, Tim ahmann

NEW YORK / WASHINGTON (Reuters) – Deloitte & Touche [DLTE.UL] has agreed to pay the U.S. government $ 149.5 million to settle claims it failed to uncover fraud at bankrupt Taylor, Bean & Whitaker Mortgage Corp, the Department of Justice said on Wednesday. Justice.

Taylor Bean was the 12th largest US mortgage lender before US regulators shut it down in August 2009. Its former chairman, Lee Farkas, is serving a 30-year prison sentence following his conviction in 2011 on 14 counts of fraud and conspiracy.

In a statement, Deloitte said it was happy to settle, to avoid the risk and uncertainty of litigation.

Deloitte had been the external auditor of Taylor Bean and had published audit reports for its fiscal years 2002 to 2008.

The Justice Department said Deloitte’s audits “knowingly deviated” from applicable standards and failed to detect how Taylor Bean was hiding his growing financial distress by selling non-existent or worthless mortgages.

He said this allowed the Ocala, Florida-based lender to continue to provide Federal Housing Administration-insured mortgages, resulting in losses for taxpayers. The settlement resolved Deloitte’s potential liability under the False Claims Act.

“When auditors fail to exercise professional judgment and make false statements that allow bad actors to stay in government programs and submit false statements to government, there will be consequences,” the Deputy Attorney General said by interim Chad Readler in a statement.

In December, U.S. District Judge Barbara Rothstein found auditor PricewaterhouseCoopers liable to the Federal Deposit Insurance Corp for failing to uncover a fraud scheme between her Alabama-based client Colonial Bank and Taylor Bean.

A lawsuit for damages is scheduled for March 20, according to court records. Colonial also failed in August 2009.

“Members of the management of Taylor Bean & Whitaker, including its CEO, have been convicted of engaging in complex and collusive fraud with a counterpart bank aimed specifically at deceiving our organization and our investors,” said Deloitte . “Deloitte & Touche is deeply committed to the highest standards of professionalism and we support this work that dates back over a decade.

Reporting by Jonathan Stempel in New York and Tim Ahmann in Washington; edited by Mohammad Zargham and David Gregorio

Related posts:

  1. It’s time to rethink your business model
  2. Italy must break deadlock over network project to avoid broadband delays: Minister
  3. US stocks mostly close higher due to lower Treasury yields
  4. Stocks record big wins as big tech comes to life

Categories

  • Blinds specialists
  • Crystal Blinds
  • Debt
  • Local blinds company
  • Roller blinds

Recent Posts

  • The new all-electric BMW i7 is tuned for the tycoons of the near future
  • Why are they changing the name to monkeypox? What is the origin of the name?
  • The price of BMW’s all-electric i7 ahead of Q4 launch
  • Historic Homes You Can Own in the Kenosha Area | Local News
  • Should I keep this despised name for the sake of my children?

Archives

  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • October 2020
  • November 2019
  • Privacy Policy
  • Terms and Conditions