Sending a message on mortgage fraud

The Illinois Association of Mortgage Professionals (IAMP) applauds the efforts of the office of United States Attorney Northern District of Illinois for Operation Malicious Mortgage. The indictment of 67 defendants including mortgage brokers, loan officers, realtors, home builders and attorneys for alleged mortgage fraud, identity theft and bankruptcy fraud should send a clear message to bad actors in the real estate finance industry: you can run, but you can't hide. Bad actors in the mortgage lending industry need to be prosecuted to the full extent of the law. The IAMP endorses the government agencies that prosecute those that are abusing the system and committing fraud upon Illinois consumers.

The IAMP has been a longtime supporter of increased enforcement of existing laws and has also advocated industry regulation such as the mandates of the Illinois High Risk Home Loan Act. This law was designed to register any person who originates, solicits or places a loan with the Illinois Department of Financial and Professional Regulation (IDFPR) if that person is regulated by the IDFPR. Under this law, loan originators must pass a written test and a criminal-background check. Only then will the IDFPR provide a Registration Certificate and assign a permanent 031 Registration Number to the loan originator. These are turbulent times in the real estate industry, and there is plenty of blame. We commend the government and regulatory agencies that are prosecuting the bad guys.

Paul Lueken

President, Illinois

Association of Mortgage

Professionals

Lombard