home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News

 

Mortgage News

HOT Topics

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.loan-academy.com/
twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from MortgageDaily.com.

Mortgage News Reprints
Put entire MortgageDaily.com stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed MortgageDaily.com stories free on your Web site or for your RSS reader.

News Archives
Archive of MortgageDaily.com stories by month going back to 1999.

Press Releases
Reports and announcements from MortgageDaily.com.

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

Corporate Mortgage News
M e r g e r s, a c q u i s i t i o n s and private and public offerings. Other corporate activity including executive appointments, bankruptcies name changes.


Regulation Under Fire

Recent bank and mortgage regulatory actions

January 14, 2009

By MortgageDaily.com staff


As regulatory orders continued to be hurled at financial institutions, a state audit identified shortfalls with Nevada mortgage regulators and a federal audit called the U.S. financial regulatory system fragmented, outdated and inadequate.

The Federal Deposit Insurance Corporation announced in December that cease-and-desist orders were issued against the following companies.

Bank Location Date
Issued
Order #
Blue Ridge Savings Bank Inc. Asheville, N.C. Nov. 3 FDIC-08-293b
Community Bank of San Joaquin Stockton, Calif. Nov. 19 FDIC-08-302b
First Tuskegee Bank Tuskegee, Ala. Nov. 19 FDIC-08-159b
Franklin Bank, S.S.B. Houston Nov. 4 FDIC-08-297b
Mountain Commerce Bank Erwin, Tenn. Nov. 13 FDIC-08-213b
Pacific Valley Bank Salinas, Calif. Nov. 7 FDIC-08-235b
Silver Falls Bank Silverton, Ore. Nov. 25 FDIC-08-272b
State Bank of Park Rapids Park Rapids, Minn. Nov. 19 FDIC-08-107b

The FDIC issued civil money penalties against the following institutions.

Bank Location Date
Issued
Order # Amount
Central State Bank Clayton, Ill. Nov. 13 FDIC-08-089k $2,695
Citizens State Bank Cadott, Wis. Nov. 14 FDIC-07-268k $4,800
The Farmers Bank Frankfort, Ind. Nov. 14 FDIC-07-262k $8,450
Frontier Bank Everett, Wash. Nov. 17 FDIC-08-264k $48,895
State Bank of Newburg Newburg, Wis. Nov. 6 FDIC-07-264k $1,800
The RiverBank Wyoming, Minn. Nov. 21 FDIC-08-292k $3,750
Valley Bank Moline, Ill. Nov. 12 FDIC-07-113k $12,000
Willamette Valley Bank Salem, Ore. Nov. 26 FDIC-08-284k $4,900

A final order was issued by the FDIC against Hollis J. Leon on Nov. 20. Also in November, the FDIC terminated cease-and-desist orders against The Patterson Bank, in Patterson, Ga.; Indian Village Community Bank, in Gnadenhutten, Ohio; First BankAmericano, of Elizabeth, N.J.; and United Bank of Philadelphia.

The National Credit Union Administration issued orders prohibiting five individuals from participating in the affairs of any federally insured financial institution.

Those individuals were former Peoria Hiway Credit Union employee Adelle Herron; former Niagara Falls Memorial Medical Center Federal Credit Union employee Lori A. Kloss; former Georgia-Pacific Toledo Employee FCU employee Marcella G. Miller; Judy N. Putman-Speight; and former State Employees Credit Union employee Winston Louis Smith.

The NYSE Alternext US LLC has notified Hanover Capital Mortgage Holdings Inc. that an extension has been granted until Feb. 27 for the real estate investment trust to become compliant with continued listing standards. An extension was previously granted until Dec. 31, 2008.

Edison, N.J.-based Hanover was originally notified on April 8, 2008, that its equity fell below the $2 million minimum level and that it had a net loss in two of the prior three fiscal years, also a violation.

BankUnited Financial Corp. said last month that it received a non-compliance notice from the Nasdaq Stock Market because it didn't file its 10-K annual report for the fiscal year ended Sept. 30, 2008, on time with the Securities and Exchange Commission. The company has until Feb. 17 to submit a plan that gets it back in compliance.

Coral Gables, Fla.-based BankUnited said it expects to regain compliance with a 10-K filing this month -- though it is prepared to submit a plan by the deadline if it is unable to make the filing before then.

A report released today from the Government Accountability Office said the 150-year-old U.S. financial regulatory system is a fragmented and complex arrangement of federal and state regulators that is incapable of keeping up with major market developments during recent decades. A complex web of financial companies, problems created by less-regulated firms and the complexity of today's investment products all exacerbate the problem. Global convergence was also listed as a factor.

"Today, almost a dozen federal regulatory agencies, numerous self-regulatory organizations and hundreds of state financial regulatory agencies share responsibility for overseeing the financial services industry," the report said. "As the nation finds itself in the midst of one of the worst financial crises ever, it has become apparent that the regulatory system is ill-suited to meet the nation's needs in the 21st century."

GAO outlined a framework with nine characteristics that should be reflected in an overhaul of the financial regulatory system.

Nevada's Division of Mortgage Lending was criticized in a state audit for failing to perform annual licensee examinations during 2007. The report was released last month by the audit division of the state's Legislative Counsel Bureau. The division was also criticized for failing to create procedures for scheduling examinations using a risk-based approach and for not having a functional hearings process.

In addition, the report said that the division did too little to collect around $1.5 million in unpaid assessments, fees and fines. The division has only filled one examiner position even though 11 were authorized by the legislature.

The audit recommended a 60-day corrective action plan be presented from the division by March 11.

Mortgage Lawsuits News | Mortgage Litigation Index
Mortgage industry lawsuit news and mortgage litigation coverage. Stories about legal settlements, judgments and mortgage class actions.


Mortgage Compliance News | Mortgage Compliance Newsletter | Mortgage Regulations
News about complying with mortgage laws, rules and regulations.



SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter

MBS

mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders