The Federal Housing Administration (FHA) has suspended Taylor, Bean and Whitaker Mortgage Corporation (TBW) of Ocala, Florida after
TBW failed to submit a required annual financial report and misrepresented that there were no unresolved issues with its independent auditor. The auditor has uncovered irregular transactions that raised the flag of fraud and had ceased their investigation.
HUD Secretary Shaun Donvan had this to say in a HUD press release:
“Today, we suspend one company but there is a very clear message that should be heard throughout the FHA lending world – operate within our standards or we won’t do business with you,”
The Government National Mortgage Association (Ginnie Mae) is also defaulting and assuming control of TBW’s nearly $25 billion Ginnie Mae portfolio. Ginnie Mae has assured TBW’s customers that a new servicer will be found and the transition will be seamless. You can read the rest of the release here.
TBW may appeal the suspension by submitting a written request for a hearing in front of a Administrative Law Judge within 30 days.