Anyone read much about the colonial fraud and pwc settlement? Articles I see now are about the magnitude of award etc but I have not seen any that actually go into the details of what happened

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Colonial Bank? Yes, Taylor Bean & Whitaker (TBW) who is a mortgage broker and their CEO Lee Farkas perpetrated a mortgage fraud scheme and double and triple selling existing mortgage loans into the secondary market. Colonial Bank knew about it and was an investor on the loans and did nothing as far as reporting. PwC was the external auditors and did not catch the fraud. Farkas was sentenced to 30 years in prison in Alexandria, VA federal court and is currently house in Butner Federal Prison, same prison as Bernie Madoff. How do I know all of this you may ask? Well you can just google the information, but I had a first hand experience because I was one of the investigators on the case on behalf of the GSEs and SIGTARP. Still have Farkas’ business card in a frame, right under his mugshot and the federal indictment cover page.

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