Corporations commissioner seeks license revocation for mortgage lender charged with illegal lending practices; monitor sought to make restitution to borrowers.LOS ANGELES--(BUSINESS WIRE)--June 26, 1997--Corporations Commissioner Keith Paul Bishop You may also be looking for Paul Bishop (actor) Paul Bishop is an author. He currently lives in Los Angeles, California. He worked on the Los Angeles Police Department before becoming a writer. Thursday announced that the department has served notice on Preferred Credit Corp., a mortgage lender based in Irvine with 10 offices in California and four other states, that it will seek to revoke To annul or make void by recalling or taking back; to cancel, rescind, repeal, or reverse. revoke v. to annul or cancel an act, particularly a statement, document, or promise, as if it no longer existed. its mortgage lender's license and bar its owners from conducting business in the industry. At the same time, the department filed a lawsuit in Orange County seeking an injunction and monitor over Preferred Credit to ensure that restitution In the context of Criminal Law, state programs under which an offender is required, as a condition of his or her sentence, to repay money or donate services to the victim or society; with respect to maritime law, the restoration of articles lost by jettison, done when the is made to the 10,000 borrowers who may be affected by the abusive loan practices alleged. In the administrative action notice and court papers, the department alleged that the company, a licensee under the California Residential Mortgage Lending Act, falsified loan documents and files, filed a false application with the department, failed to remit To transmit or send. To relinquish or surrender, such as in the case of a fine, punishment, or sentence. An individual, for example, might remit money to pay bills. TO REMIT. To annul a fine or forfeiture. 2. funds to borrowers in a timely manner, and charged excessive interest payments in up to 10,000 residential loans. ``This is the first action taken by the department under a new law, the California Residential Mortgage Lending Act, that became effective on Jan. 1, 1996,'' Bishop said. ``In the case of Preferred Credit, we allege To state, recite, assert, or charge the existence of particular facts in a Pleading or an indictment; to make an allegation. allege v. that there could be as many as 10,000 loans in which the borrowers had to wait for their money after the closing of the loan was completed and, in addition, were charged interest during that period.'' The department's action seeks a court-appointed monitor to undertake a complete review of the company's loan files and refund all excessive interest payments to borrowers who were overcharged from March 1, 1996, to the present, estimated to be at least $1.5 million. The department also seeks civil penalties of at least $237,500 and seeks to revoke the company's license under the new law. At a hearing in Orange County Superior Court on June 25, 1997, the company was ordered not to destroy, alter or remove any books and records from its offices, and to grant complete access to the department. ``It is important that members of the public seeking to borrow money on their homes be alert to these types of improper practices,'' said Bishop. The Department of Corporations is a regulatory agency regulatory agency Independent government commission charged by the legislature with setting and enforcing standards for specific industries in the private sector. The concept was invented by the U.S. that reports to the Business, Transportation and Housing Agency and to Gov. Pete Wilson For others named Pete Wilson, see . Peter Barton Wilson (born August 23, 1933) is an American Republican politician from California. Wilson served as the thirty-sixth Governor of California (1991–1999), the culmination of more than three decades in the public arena that . CONTACT: State of California Department of Corporations G.W. McDonald, 213/736-3704 213/736-2117 (fax) Julie Stewart Julie A. Stewart is a Canadian actress. Julie Stewart studied acting in Montreal at the National Theatre School of Canada and now makes her home in Toronto. She was the star of the Canadian television series Cold Squad. , 916/323-5485 916/323-5440 (fax) |
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