Keystone State Lender Nabbed for Falsifying Loan Documents Insured by HUD
The United States settled claims against Pennsylvania-based Capmark Finance LLP for making false statements in connection with loans insured by the Department of Housing and Urban Development (HUD). The government claimed that Capmark falsified information relating to the creditworthiness of two nursing homes that subsequently defaulted on the loans. Capmark (which filed for bankruptcy) agreed to pay the government $3.9 million to settle the claims. The investigation involved the interagency Financial Fraud Enforcement Task Force.
The press release may be found at this link: http://www.justice.gov/opa/pr/2012/February/12-civ-198.html