The growing prevalence of mortgage loan
fraud is being met by greater success on the part of
the financial community at intercepting the fraud
before loans are funded. A Financial Crimes
Enforcement Network (FinCEN) report said the number
of suspicious activity reports (SARs) relating to
mortgage fraud increased 42% from 37,313 in 2006 to
52,868 in 2007 (FinCEN’s year-over-year data is
tracked from April 1 through March 31).
In the same period, the suspected fraud was
detected prior to loan funding in 31% of all cases
resulting in SARs, up from 21% the previous
year—an increase of almost 50%.
exemplifies how compliance with Bank Secrecy Act
regulations is consistent with a financial
institution’s commercial concerns,” said FinCEN
Director James Freis in a press release.
The most common type of mortgage fraud was
misrepresentation of income, assets and debt
(43%). Identity theft in conjunction with mortgage
fraud, though a small portion of all cases of
mortgage fraud (3.45%), increased 96% in 2007.
The IRS’s 2016 Data Book, a “hot job” of particular interest at this time of year, and insight into how executive and audit committees view the insights from financial statement audits received attention recently. See how much you know with this short quiz.