Six banks to pay $161M in vets mortgage settlement - Atlanta News, Weather, Traffic, and Sports | FOX 5

FOX 5 I-Team investigates

Six banks to pay $161M in vets mortgage settlement

Posted: Updated:
ATLANTA -

Six lenders, including Atlanta-based Sun Trust Mortgage, have agreed to pay $161 million to settle a massive whistleblower lawsuit that alleged they overcharged military veterans on their home refinancing loans.

The whistleblower lawsuit was filed by two local loan officers on behalf of the taxpayers. Most of the money recovered will be returned to the government.

The I-Team was first to tell you how Atlanta loan officers Victor Bibby and Brian Donnelly filed a federal whistleblower lawsuit against 13 banks and mortgage companies accusing them of taking part in a "brazen scheme to defraud both our nation's veterans and the United States Treasury."    

After our initial stories, their whistleblower lawsuit was unsealed and JP Morgan Chase agreed to a $45 million dollar settlement. Now, you can add $161 million to that total.

Sun Trust Mortgage paid $10 million. They had no comment.

Two defendants remain: Wells Fargo and Mortgage Investors Corporation.

  • I-Team Story ArchiveMore>>

  • I-Team Investigation

    Former Douglas Co. D.A. office manager indicted

    Former Douglas Co. D.A. office manager indicted

    Sunday, July 27 2014 3:24 PM EDT2014-07-27 19:24:49 GMT
    There are major new developments today in the state investigation of the Douglas County District Attorney's office. Tammy Agan, the former office manager, has been indicted on 58 counts of theft and making false statements.
    There are major new developments today in the state investigation of the Douglas County District Attorney's office. Tammy Agan, the former office manager, has been indicted on 58 counts of theft and making false statements.
  • Whistleblower Seeks Sanctions Against Attorney General's Office

    Whistleblower Seeks Sanctions Against Attorney General's Office

    Friday, July 25 2014 9:59 PM EDT2014-07-26 01:59:29 GMT
    In a letter, obtained exclusively by the Fox 5 I-Team, former Ethics director Stacey Kalberman's plans to seek sanctions against the state Attorney General's office.
    More controversy involving the State Ethics Commission. In a letter, obtained exclusively by the Fox 5 I-Team, former Ethics director Stacey Kalberman's plans to seek sanctions against the state Attorney General's office.
  • FOX 5 I-Team Investigation

    State proposes action for home elevator safety

    State proposes action for home elevator safety

    Friday, July 25 2014 2:12 PM EDT2014-07-25 18:12:46 GMT

    The state is inching closer to closing a gap that should make residential elevators safer for children .It was the I-Team's stories about children nationwide being hurt that prompted the state to propose an emergency amendment to the state code.

    The state is inching closer to closing a gap that should make residential elevators safer for children .It was the I-Team's stories about children nationwide being hurt that prompted the state to propose an emergency amendment to the state code.

  • Contact the FOX 5 I-Team

    * denotes required fields

    We're sorry, but only one entry is allowed per person.
    Thank you for your continued interest.

    Thanks for contacting FOX 5.  To reach our newsroom by phone, please call (404) 898-0100.

Powered by WorldNow

1551 Briarcliff Rd., NE
Atlanta, GA 30306

Main Number: (404) 875-5555
News Tips: (404) 898-0100

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices
.