Fed Order Issued Against Originator

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MORTGAGE EXPERT
6 · 26 · 06

Regulators have banned a former bank loan officer from banking for engaging in mortgage fraud, among other crimes.

Tampas B. Riggs, a former employee of a Regions Bank branch in Orlando, Fla., consented to a prohibition order issued by the Federal Reserve Board, according to an announcement Thursday.

Riggs allegedly falsified Regions’ books, records and statements to company officials relating to a mortgage he obtained from the bank. He used the proceeds, without the knowledge or consent of either the buyer or the seller, to fraudulently purchase property a mortgage applicant had an option to purchase, the announcement said.

Riggs was terminated from his position as a loan officer and, to resolve a civil lawsuit brought against him, he transferred the property to the buyer, and has repaid the mortgage proceeds he used without retaining any financial benefit, according to the order.

The order prohibits the former loan officer from participating in any affairs of any federally-insured depository institution, or related holding company and non-bank subsidiary.

The consent order does not constitute an admission by Riggs to the allegations.

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Mortgage Daily Staff

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