24 C.F.R. § 30.60 Dealers or loan correspondents.
Title 24 - Housing and Urban Development
(a) General. The Assistant Secretary for Housing-Federal Housing Commissioner, or his or her designee, may initiate a civil money penalty action against any dealer or loan correspondent who violates section 2(b)(7) of the National Housing Act (12 U.S.C. 1703). Such violations include, but are not limited to: (1) Falsifying information on an application for dealer approval or reapproval submitted to a lender; (2) Falsifying statements on a HUD credit application, improvement contract, note, security instrument, completion certificate, or other loan document; (3) Failing to sign a credit application if the dealer or loan correspondent assisted the borrower in completing the application; (4) Falsely certifying to a lender that the loan proceeds have been or will be spent on eligible improvements; (5) Falsely certifying to a lender that the property improvements have been completed; (6) Falsely certifying that a borrower has not been given or promised any cash payment, rebate, cash bonus, or anything of more than nominal value as an inducement to enter into a loan transaction; (7) Making a false representation to a lender with respect to the creditworthiness of a borrower or the eligibility of the improvements for which a loan is sought. (b) Continuing violation. Each day that a violation continues shall constitute a separate violation. (c) Amount of penalty. The maximum penalty is $6,500 for each violation, up to a limit for any particular person of $1,250,000 during any one-year period. [61 FR 50215, Sept. 24, 1996, as amended at 68 FR 12788, Mar. 17, 2003]
Title 24: Housing and Urban Development
PART 30—CIVIL MONEY PENALTIES: CERTAIN PROHIBITED CONDUCT
Subpart B—Violations
§ 30.60 Dealers or loan correspondents.
