U.S. Files Civil Mortgage Fraud Suit Against Wells Fargo
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Wells Fargo & Co. was sued by the U.S. for hundreds of millions of dollars in damages over claims the bank made reckless mortgage loans that caused losses for a federal insurance program when they defaulted.
The complaint filed yesterday in federal court in New York, which alleges misconduct spanning more than a decade related to the bank’s participation in a Federal Housing Administration program, follows similar cases against other lenders, including Citigroup Inc. and Deutsche Bank AG.