Monthly summary of mortgage activities, Sept. 2003

Monthly Summary of Mortgage Activities
Georgia Department of Banking and Finance
2990 Brandywine Road, Suite 200, Atlanta, GA 30341-5565
FOR THE PERIOD ENDING SEPTEMBER 2003
SUMMARY OF ACTIVITIES - MORTGAGE DIVISION WEBSITE: www.dbf.state.ga.us
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From the desk of Robley S. Rigdon - The First Ten Years in the Mortgage Division
It is hard to realize that more than ten years have passed since we started the Mortgage Division. I still remember the Department and industry representatives estimating that we would license about five hundred companies. When we started licensing we received eight hundred applications before the end of the first month. We originally assigned the licensing numbers in alphabetical order starting with 5600.
The Division actually started with myself and an Administrative Assistant, Marilou Harvey, as the only employees. We borrowed four examiners from Bank Supervision to review the applications and issued the first temporary licenses until brokers and lenders could get their audited statements to us and we could then issue a regular license.
In 1994, we rotated in six bank examiners and started our broker exams. This was followed by lender exams in 1995. During 1994 we issued the first round of regulations and didn't realize that adding regulations would generally be an annual event. During this same year, we moved from a two-room suite to the Division's current location. I was not sure that we were going to get that new area because it had red carpet and Commissioner Dunn told me that it looked like a New Orleans brothel (not actually the exact words). Craig Smith also joined us in 1994 as an Assistant Deputy Commissioner and reviewed applications and exams.
In 1995, we had a sizeable lender that failed and we were left with over thirty consumers with loans that did not fund and over seventy consumers had paid fees to start the mortgage process. The Georgia Association of Mortgage Brokers (GAMB) came to the rescue and offered those consumers new loans at the broker's cost. We have always had a good relationship with the GAMB, Mortgage Bankers Association, Georgia Financial Services, and Equity Lenders. Around 1995, we started a push to add home improvement dealers and mobile home dealers. This lead to our relationship with the Manufactured Home Association and later the Minority Banker's Association evolved. Also, in 1995, Larry Moor was added as a second Assistant Deputy Commissioner and took part of the growing workload from Craig Smith.
In 1996, we got an education on real estate flips. They had been here the whole time but we did not recognize them or know what they were. When we figured out what we had we knew we had a problem. We added Investigators Jim Brooks and Chuck Titshaw who worked full time on flips and fraud. Some of their 1996 and 1997 cases have gone to trial in the past year and the principals have been prosecuted. There is no end to the fraud cases that have been identified since the inception of our investigations. Also, in 1997 the Division added fines to the regulations.
This lead to the reorganization of the Mortgage Division in 1998 and the addition of Drexel Beck as the Director of

Mortgage. This was followed by the retirement of Craig Smith in 1999, not related to Drexel's arrival, and his replacement, Larry Shelley, began his career in the Division.
The largest single change in the Division was the enactment of the Georgia Fair Lending Act in 2002. This legislation lead to a huge amount of training for examiners and the entire mortgage industry to include financial institutions. The unintended consequences of this legislation were felt by the entire industry.
Most of the original group other than Larry Moor have retired or are about to retire. Larry Moor will retire in mid 2004 and the cycle will restart. The "new guy and gals", Rob Braswell, Melinda Kindard, and Sandra Sheley are all in place and fully engaged with an energetic support staff.
It has been a pleasure to work with this entire industry for the past ten years. I wish all of you well and hope you all continue to have some fun along the way. I am sure that you will continue to see me in or around this industry in the future.
Thanks for your patience and understanding,
Robley Rigdon
RESPONSIBILITY FOR GEORGIA FAIR LENDING ACT (GAFLA)
Most licensees claim their intent is NOT to make high cost loans. ALL CREDITORS are responsible for testing loans to prove loans are not high cost loans. Please remember to do your test and put a copy in the loan file to prove you are not making high cost loans. You are a creditor if you are a processor, loan officer, broker or lender. Some brokers have never tested their loans because they rely on their lender, and some brokers have stopped testing their loans because the lender does not require them to test anymore. This reliance on the lender's calculation or advice should not occur. Creditors, as noted, are responsible for their compliance with GAFLA and should make their own calculations of the APR and Points and Fees to determine if the loan is or is not a high cost loan. Do not rely on others to do this for you because their test cannot protect you in a court of law.
NOTE: High cost loans are not prohibited. They may be made as long as they meet the requirements of GAFLA.
GEORGIA FAIR LENDING ACT - CHOICE OF ATTORNEY
The Georgia Fair Lending Act (GAFLA) allows attorneys' fees to be excluded from points and fees calculations if the borrower has the right to select the attorney from an approved list or otherwise. However, it should be noted that Department examiners have been instructed to include attorneys' fees in points and fees calculations if the licensee does not have documentation signed by the borrower indicating that the borrower had a choice in attorney. Therefore, it is in the best interest of the licensee to have this documentation in the file or on file to prevent such attorney fees from being included in points and fees calculations and inadvertently creating a high cost loan or violating GAFLA.
NON-FUNDING OF CLOSED LOANS IS BECOMING A PROBLEM IN GEORGIA
Licensees reviewing the contents of this summary each month will notice license revocations and fines assessed to companies which "close" loans, but who fail to fund these loans. This can happen when the "lender" is not really the source of funding and the funding process is delayed long enough for rates to rise or locks to expire. For whatever reason, a loan "closing" occurs, but investors fail to wire the necessary funds for disbursal, and the consumers wind up having signed a note and owing for money they have not received.

Each licensee in Georgia would be well advised to review the provisions of Title 44 and specifically O.C.G.A. Section 44-14-13 of the Code of Georgia which addresses this issue. To summarize, this code section sets the funding requirements for loans involving purchase money loans or refinance loans involving real estate containing not more than four residential dwelling units. It states that "the lender shall at or before the loan closing deliver loan funds to the settlement agent either in the form of collected funds or in the form of a negotiable instrument ...." It is obvious from this that loans that are "closed" must be funded. Some persons in the industry would say that makes Georgia a "wet settlement" or a "non-escrow" state as it relates to funding of closed loans. This code section also calls for substantial actual and punitive monetary penalties to be paid to the borrower in the event that this section is violated.
In addition, Rule 80-11-3-.01 (19) states that "The GRMA in O.C.G.A. Section 7-1-1013 (3) prohibits failure to disburse funds in accordance with a written commitment or agreement to make a mortgage loan". If the department finds... that a lender or a broker acting as a lender has failed to disburse funds in accordance with closing documents, which include legally binding executed agreements indicating a promise to pay and creation of a security interest, a fine of $5,000 per transaction may be imposed.
HIRING EMPLOYEES
As a licensee, it is important to realize that you are responsible for the persons you employ. That is why it is very important that, prior to employment, you conduct proper pre-employment checks with previous employers of the prospective employee, conduct background checks on covered employees, and verify that the person is qualified to work in the mortgage industry. By qualified, in this instance, it means that the individual does not have an outstanding Cease and Desist order issued against them by the Department. Regulation 80-11-.01 (10) states that: "Any licensee or registrant who employs any other person against whom a final Cease and Desist order has been issued within the preceding three (3) years, if such order was based on a violation of Code Section 7-1-1013 or based on the conducting of a mortgage business without a required license or exemption....shall be subject to a fine of $1,000 per such employee and their license or registration will be subject to revocation or suspension."
In order to determine if a prospective employee has an outstanding Cease and Desist order, please check the Department's listing of outstanding Orders at http://www.state.ga.us/dbf/cdorders.html. For individuals, you may enter last name first or part of a name, for example "jo" only for Jones, Johnson, etc. To see all outstanding Cease and Desist orders, simply leave the selection box blank and press "Submit Query".
This is a comprehensive listing of companies that have outstanding orders. It also lists individuals who, because of the outstanding order, are generally not permitted to be employed in the industry for a period of 3 years. Please review this list prior to hiring individuals to work for your business. In the event that you have a question with regard to conducting business with a company on the list, please contact this office.
LOAN PROCESSORS
As of October 1, 2003, all mortgage loan processors were required to be licensed by the Department. It is important that licensees determine that their processor has a valid mortgage license or that you are now employing them exclusively as a W-2 employee of your business.
Licensees who continue to utilize the services of independent, unlicensed loan processors will be fined $1,000 PER LOAN processed in violation of the Georgia Residential Mortgage Act, and their license shall be subject to suspension or revocation [Rule 80-11-3-.01(4)].
Processors who are operating without a valid license after October 1, 2003 are in violation of O.C.G.A. Section 7-11002 (a), transaction of a business without a license, which is a felony [O.C.G.A. Section 7-1-1019 (1)], and which

subjects the processor to a fine of $1,000 PER TRANSACTION and their mortgage license application will be subject to denial [Rule 80-1-3-.01 (8)].
VERIFYING LICENSED ENTITIES
Rule 80-11-4-.05 of the Mortgage Division Rules states, in part, that it is the licensee's responsibility to "know" that it is conducting business with a licensed entity.
You run the risk of conducting business with an unlicensed entity if you do not verify the license. The fine for "dealing with unlicensed persons" under Rule 80-11-3-.01 (4) is $1,000 per transaction and your license shall be subject to suspension or revocation. Anyone who purchases, sells, places for processing or transfers a mortgage loan or loan application to or from a person who is required to be licensed but is not properly licensed will be fined.
You can check the license status of any licensee by going to the Department's web site at http://www.ganet.org/dbf/mortgage.html . From there you can check by entering the licensee's name, license number, or city, or leave the selection box blank and you will get a complete listing of licensees. There is also an option to download the entire list into an Excel spreadsheet.
BACKGROUND CHECKS - REQUIREMENTS AND FREQUENCY
The Georgia Residential Mortgage Act (GRMA), O.C.G.A. Section 7-1-1004 (d), prohibits a licensee from employing convicted felons who have not previously sought and obtained the remedies provided for in the Code, such as a pardon or the successful completion and documentation of probation under a first offender statute. In addition, Code Section 7-1-1004 (f) requires all licensees to conduct background checks on their covered employees, as defined in that same code section, to adequately determine existing and potential employees' criminal histories.
Please note: Code Section 7-1-1004 (f) also requires that such background checks be handled by the Georgia Crime Information Center pursuant to Code Section 35-3-34 and the rules and regulations of the Georgia Crime Information Center. Several licensees have recently utilized private companies to perform background checks and have unnecessarily subjected their licenses to fines and revocation.
Many licensees have asked how often this background check needs to be performed, as neither the GRMA nor the Department's Rules addresses frequency or requires that a licensee run criminal background checks periodically after the initial employment check. The Department has consistently held that a licensee should do follow-up background checks no less frequently than every 24 months, unless the licensee has reason to believe there is a need to review an individual's criminal background record more frequently. In doing so a licensee would demonstrate "due diligence" on their part in that they do not have in their employ a felon who received their conviction after hiring.
In such a case, a licensee who periodically runs employment background checks and who subsequently discovers that they have a felon on staff, and the felony occurred after the initial hiring would, in most circumstances, be assessed a fine for the violation and issued a cease and desist order to preclude future violations of this law if they took immediate steps to correct the violation, but in most cases would not be subject to revocation of their license.
However, revocation could occur if an employer 1) knew, or 2) should have known (based on information received, prolonged absence from work, etc.), that an employee had a subsequent felony conviction but allowed the individual to remain on staff and did not take the appropriate and timely action to correct the violation.
CAUTION:
License number 6127 issued to Benjamin Davis expired on July 1, 2003. A license was mailed to Mr. Davis prematurely which is no longer valid.

E-MAILING THE DEPARTMENT
The Department would like to encourage you to correspond with us using e-mail.
Providing written details in the e-mail regarding any questions or concerns you may have allows the Department to forward the request to the appropriate person who handles that area, and if sufficient details are provided in the request, that person can then more efficiently provide you an answer.
The e-mail address is dbfmort@dbf.state.ga.us
A detailed message which will be distributed to the proper individual will help us help you. In the event you still need additional information, please contact us by phone.
DISTRIBUTING THE MONTHLY SUMMARY
The Monthly Summary of Mortgage Activities is E-mailed each month to licensees. The Department requests that all licensees provide the Department a valid E-mail address in order to receive the Monthly Summary each month in a timely manner. For all other licensees, the Monthly Summary is available on the Department's website http://www.state.ga.us/dbf/bulletins.html each month. This delivers the Mortgage Summary to you more rapidly and efficiently. If you have not already provided the Department with your E-mail address, please contact the Mortgage Division at dbfmort@dbf.state.ga.us or at 770-986-1633 if you have any questions.
Licenses issued in Georgia are subject to revocation, withdrawal or suspension. To verify the current status of a license call 770-986-1269 or check our web site at http://www.state.ga.us/dbf/
FRAUDULENT CEASE AND DESIST ORDER
On August 12, 2003 the Department received notice that a fraudulent document was being circulated alleging that American Mortgage Investors Corporation, 1270 Winchester Parkway, Smyrna, Georgia was the subject of a Cease and Desist Order and that this company was an entity unauthorized to do business in the State of Georgia.
Please be advised that this document is a fraudulent and unauthorized document and that it was not originated by the Department of Banking and Finance. The information contained in this document; that this entity is unauthorized to do business in the State of Georgia and that this entity is subject to a Cease and Desist Order is false. This entity is currently licensed to do business in the State of Georgia and is not subject to an administrative action in the form of a Cease and Desist Order.
Fabrication of a false administrative action is a violation of civil and criminal statutes and the Department views such violations as a serious concern. Any individual with documentary evidence regarding the source of this fraudulent documentation is asked to contact the Department of Banking and Finance with this information.
If there are any additional questions regarding these issues, please contact the Deputy Commissioner for Mortgage, Rob Braswell, at (770) 986-1371 or via e-mail at robertb@dbf.state.ga.us.
CEASE AND DESIST ORDERS - Issued
Barnes, Jock, Buford, GA - Cease and Desist Order issued August 6, 2003 and became final on 09-05-03.
Glazer, Mark, Marietta, GA - Cease and Desist Order issued 08-06-03 and became final on 09/05/03.

Heartland Home Finance, Inc. (license no. 12179) Downers Grove, IL - Cease and Desist Order issued 04-11-03 and became final on 09-04-03. Honstine, C. Edward , Atlanta, GA - Cease and Desist Order issued 10-30-02 and became final on 05-13-03. Jones, Vicki L., Sharpsburg, GA - Cease and Desist Order issued 08-22-03 and became final on 09-21-03. Longleaf Mortgage, LLC (license no. 16557) Jacksonville, FL - Cease and Desist Order issued 09-04-03 and became final on 09-27-03. Mole, Jr., Richard R. (license no. 18303) Columbus, GA - Cease and Desist Order issued 08-26-03 and became final on 09-26-03. PHLMC, Inc., Peachtree City, GA - Cease and Desist Order issued 08-22-03 and became final on 09-21-03. Preferred Mortgage Group, Inc. (license no. 7249) Peachtree City, GA - Cease and Desist Order issued 08-22-03 and became final on 09-21-03. Your Money Center (license no.14798) Hartwell, GA - Cease and Desist Order issued 08-25-03 and became final on 09-18-03.
CEASE AND DESIST ORDER - Lifted
None
FINAL CONSENT ORDER
None

LICENSEES/REGISTRANTS REVOKED, EXPIRED, SUSPENDED, WITHDRAWN OR DENIED IN SEPTEMBER 2003

ID#
14798 15575 15615 15625 16557 18261 18303

NAME
YOUR MONEY CENTER MTG BROKERS, INC SUPERIOR HM CTR LLC MTG STOP LLC LONGLEAF MTG LLC PHLMC, INC MOLE, RICHARD R JR

CODE
BD BD BD BD BD BD BD

REVOKED

EXPIRED
09/18/2003

SUSPENDED

09/27/2003 09/26/2003

WITHDRAWN
09/04/2003 09/15/2003 09/16/2003

DENIED
09/19/2003

TOTAL: 7

LICENSEES/REGISTRANTS APPROVED OR REINSTATED IN SEPTEMBER 2003

ID# COMPANY NAME

16276 18548 18602 18634 18640 18647 18649 18650 18651 18653 18656 18652 18655 13656 15370 18452 18469 18517 18544 18575 18658 18661 18671 15528 18612 18659 18672 13796 15557
5794 14316 16255

Riverbank Mtg Corp * Michael Bell Atlanta Interest Mortgage and A-1 Financial Services, Inc. C-Bass Funding X LLC Cascade Mortgage Company, Melanee C. Morgan Jay Mitchell Ingrum Thomas Eugene Boles GHA-NI Mortgage Brokers, LLC Day's Mortgage Corporation, Mehdi Eskandanian Assured Mortgage Solutions,
Western Thrift & Loan !
1st Sterling Mtg Svcs, * 1st Choice Mortgage Equity New Horizon Mortgage Group, Natalie Elizabeth Lee-Hew Terwin Advisors, LLC Process Network, Inc. Mary Kieran Cooper Mymortgagepro, LLC Georgia's Southern Mortgage, 1st Georgia Mtg Funding, Inc + Emma Joyce Knox Angela Crozier Cantrell AmPro Mortgage Corporation Kennedy Mortgage Corp. Mtg Resource Svcs, Inc. * Resolution Mortgage Corporation Atlantic Housing Group, Inc. A+ Capitol Mortgage Services,

CITY
ROSWELL MACON AUSTELL STUART NEW YORK ATLANTA WEST POINT MACON VILLA RICA LILBURN POWDER SPRINGS KENNESAW WOODSTOCK UPLAND SUWANEE MIAMI SNELLVILLE NORCROSS NEW YORK TUCKER LAWRENCEVILLE LEXINGTON VILLA RICA ROSWELL DECATUR FORT MYERS PHOENIX LAS VEGAS FAYETTEVILLE CUMMING SUWANEE MACON

ST MB CODE
GA L GA B GA B FL L NY L GA B GA B GA B GA B GA B GA B GA B GA B CA L GA L FL L GA B GA B NY L GA P GA P KY B GA P GA B GA B FL B AZ L NV B GA L GA B GA B GA B

ORIGINAL APPROVAL
01/19/2001 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/12/2003 09/12/2003 06/12/1998 05/05/2000 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 03/24/2000 09/26/2003 09/26/2003 09/26/2003 08/14/1998 05/19/2000 06/24/1993 02/12/1999 01/12/2001

RENEWAL
09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/05/2003 09/12/2003 09/12/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/19/2003 09/26/2003 09/26/2003 09/26/2003 09/26/2003 09/05/2003 09/12/2003 09/19/2003 09/26/2003 09/26/2003

REINSTATED
09/05/2003 09/12/2003 09/19/2003 09/26/2003 09/26/2003

TOTAL: 32

B = BROKER L = LENDER R = REGISTRANT

* Upgrade Broker to Lender # Upgrade Lender to Registrant + Downgrade Lender to Broker
! Downgrade Registrant to

FINES ASSESSED IN SEPTEMBER 2003

ID#

ISSUE

DATE

FINE

PAID DATE

COMPANY NAME

CITY

ST

5831 5855

09/22/2003 09/22/2003

$1000. $1000.

Equity One, Inc. Industrial Credit Corporation

Atlanta

GA

Lawrenceville

GA

5860 5860 5860 5860

09/12/2003 09/12/2003 09/12/2003 09/12/2003

$1000. $500. $250. $500.

Cotton State Mortgage, Inc. Cotton State Mortgage, Inc. Cotton State Mortgage, Inc. Cotton State Mortgage, Inc.

Atlanta

GA

Atlanta

GA

Atlanta

GA

Atlanta

GA

6018 6024 6462 6587

09/22/2003 09/22/2003 09/22/2003 09/22/2003

$1000. $1000. $1000. $1000.

Realty Mortgage Corporation Washtenaw Mortgage Company James B. Nutter & Co Fifth Third Mortgage Company

Flowood

MS

Ann Arbor

MI

Kansas City

MO

Cincinnati

OH

6692

09/22/2003

$1000.

Taylor, Bean & Whitaker Mortgage Corp.

Atlanta

GA

6836

09/22/2003

$1000.

Loans by Summerville, Inc.

Hephzibah

GA

6977

09/22/2003

$1000.

Ameriquest Mortgage Company

Orange

CA

7414

09/22/2003

$1000.

First Consumer Credit, Inc.

Dallas

TX

7439 11387 11459 11587

09/22/2003 09/22/2003 09/22/2003 09/22/2003

$1000. $1000. $1000. $1000.

First Service Mortgage, Inc.

College Park

GA

The Provident Bank

Atlanta

GA

Woodland Capital Corporation

Minneapolis

MN

The Home Place Mortgage Co., Inc.

Gainesville

GA

11770

09/11/2003

$500.

Omega Homes, Inc.

Thomson

GA

11770

09/11/2003

$500.

Omega Homes, Inc.

Thomson

GA

11945

09/22/2003

$1000.

Diversified Capital Corporation of Tennessee

Memphis

TN

12005

09/12/2003

$500.

America's MoneyLine, Inc.

Glen Allen

VA

12005

09/12/2003

$500.

America's MoneyLine, Inc.

Glen Allen

VA

12243 12366 12678 12701

09/22/2003 09/22/2003 09/22/2003 09/22/2003

$1000. $1000. $1000. $1000.

Ohio Mortgage Company, Inc. BancorpSouth Sahara Mortgage Corporation Towne Mortgage Company

Brooklyn

OH

Tupelo

MS

Las Vegas

NV

Sterling Heights

MI

12778 13180 13356 13398

09/22/2003 09/22/2003 09/15/2003 09/22/2003

$1000. $1000. $1000. $1000.

Pacific Guarantee Mortgage Corporation First One Lending Corporation Burton & Burton Mortgage, Inc. PSB Lending Corp.

Point Richmond

CA

San Juan Capistrano

CA

Tallahassee

FL

Plano

TX

13410 13545 13628 13760

09/22/2003 09/22/2003 09/22/2003 09/22/2003

$1000. $1000. $1000. $1000.

Community Home Mortgage Corporation

Melville

NY

American Mortgage Express Corp.

Cherry Hill

NJ

Christopher E. Hobson, Inc.

Corona Del Mar

CA

Mortgage Town USA, Inc.

North Providence

RI

13795

09/22/2003

$1000.

Golden First Mortgage Corp.

Melville

NY

13824

09/22/2003

$1000.

Nation One Mortgage Company, Inc.

Braintree

MA

14200

09/22/2003

$1000.

Molton, Allen & Williams Mortgage Company,

Fairfax

VA

14516

09/22/2003

$1000.

Americorp Credit Corporation

Temecula

CA

14590 14650 14770 14817

09/02/2003 09/22/2003 09/22/2003 09/22/2003

$5000. $1000. $1000. $1000.

New Freedom Mortgage Corporation

Salt Lake City

UT

American Home Mortgage Corp.

Melville

NY

Business Mortgage, Inc.

Clearwater

FL

Nationwide Funding Group, Ltd.

Escondido

CA

14853 15012 15053

09/11/2003 09/22/2003 09/22/2003

$500. $1000. $1000.

Galaxy Mortgage RBC Mortgage Company Mega Capital Funding, Inc.

Ooltewah

TN

Chicago

IL

Northridge

CA

FINES ASSESSED IN SEPTEMBER 2003

ID#
15179 15200 15283 15334 15394 15467 15511 15622 15622 15652 16035 16064 16182 16199 16276 16413 16444 16562 16624 16684 16862 16862 16894 16935 16954 16954 16954 16962 17068 17117 17188 17204 17296 17433 17488 17495 17553 17555 17776 17818 17893 17955 18011 18095 18150

ISSUE DATE
09/03/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/05/2003 09/05/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/02/2003 09/22/2003 09/22/2003 09/22/2003 09/08/2003 09/08/2003 09/22/2003 09/22/2003 09/09/2003 09/09/2003 09/09/2003 09/08/2003 09/22/2003 09/02/2003 09/22/2003 09/09/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003
09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003 09/22/2003

FINE
$500. $1000. $1000. $1000. $1000. $1000. $1000.
$250. $250. $1000. $1000. $1000. $1000. $1000. $1000. $1000. $500. $1000. $1000. $1000. $1000. $500. $1000. $1000. $1000. $500. $500. $500. $1000. $5000. $1000. $500. $1000. $1000. $1000. $1000. $250. $1000. $1000. $1000. $1000. $1000. $1000. $1000. $1000.

PAID DATE
09/24/2003 09/24/2003 09/24/2003 09/12/2003 09/10/2003 09/18/2003

COMPANY NAME
Nations Home Corporation Infinity Mortgage Company, Inc. State Mutual Insurance Company First American Equity Corp. Boston Safe Deposit & Trust Company Lighthouse Mortgage Services Co., Inc. Chase Preferred Capital Corporation HomeBanc Mortgage Corporation HomeBanc Mortgage Corporation People's Choice Home Loan, Inc. 1st Republic Mortgage, Inc. (New York) PGNF Home Lending Corp. Popular Financial Services, LLC Consumer Mortgage Services, Inc Riverbank Mortgage Corporation J And R Financial Group, Inc. Sierra Pacific Mortgage Company, Inc. Greater Potomac Mortgage Company Crossroads Mortgage, Inc. Kellner Mortgage Investments I, Ltd. Mortgage Consultant Services, Inc. Mortgage Consultant Services, Inc. Impact Lending, Inc. Home Source Mortgage Corporation Faith Promise, Inc. Faith Promise, Inc. Faith Promise, Inc. Southeast Mortgage Funding, Inc. Encore Credit Corp. Amerisave Mortgage Corporation One Source Mortgage, LLC American Home Estate Mortgage, Inc. First Interstate Financial Corp. Just Mortgage Inc. 1ST Liberty Mortgage Company Diversified Mortgage, Inc. Casa Blanca Mortgage, Inc. Greenlight Financial Services, Inc. Pensacola Guarantee Mortgage Inc. Mortgageclose.com, Inc. Quest Capital Ventures, LLC Atlantic Financial, Inc. Allied Home Mortgage Corporation ARGO Mortgage and Investment, Inc. Network Funding Corporation

CITY

ST

Chamblee

GA

Norfolk

MA

Rome

GA

Dalton

GA

Boston

MA

Huntingdon Valle

PA

New York

NY

Atlanta

GA

Atlanta

GA

Irvine

CA

Floral Park

NY

Westmont

IL

Marlton

NJ

West Chester

PA

Roswell

GA

Clayton

GA

Rancho Cordova

CA

Virginia Beach

VA

Memphis

TN

Carrollton

TX

Jonesboro

GA

Jonesboro

GA

NEW PORT RICHEY

FL

Spartanburg

SC

Savannah

GA

Savannah

GA

Savannah

GA

Atlanta

GA

Irvine

CA

Atlanta

GA

Dallas

TX

Duluth

GA

Shrewsbury

NJ

Greenwood Village

CO

Chestnut Ridge

NY

Clearwater

FL

San Fernando

CA

Irvine

CA

Pensacola

FL

Orange

CA

East Point

GA

Beltsville

MD

Houston

TX

Daytona Beach

FL

Houston

TX

FINE REASON

2 licensees fined for prohibited acts

4 licensees fined for loan files not properly maintained

1 licensee fined for 1099 employees

2 licensees fined for unapproved branch managers

7 licensees fined for books & records

1 licensee fined for doing business with unlicensed entity

3 licensees fined for unapproved branch

1 licensee fined for other miscellaneous

68 licensees fined for $6.50 fees not paid

1 licensee fined for employment of a felon

1 licensee fined for employer under C&D or revocation