Bank of America to pay $1.27 billion for mortgage fraud

Bank of America to pay $1.27 billion for mortgage fraud

By Nicholas Tomsho on Jul 31, 2014 08:58 am
[JURIST] A federal judge on Wednesday imposed [opinion; PDF] a $1.27 billion penalty on Bank of America [corporate website] after a jury found them liable for mortgage fraud. Judge Jed Rakoff [official profile] for the US District Court for the Southern District of New York [official website] ruled after a jury found that Bank of America, the second largest bank in the US, had defrauded government-controlled mortgage companies Fannie Mae and Freddie Mac [corporate websites], by selling them defective mortgages...   +read more