Monthly summary of mortgage activities, May 2006

Georgia Department of Banking & Finance

NON-DEPOSITORY FINANCIAL
INSTITUTIONS

Monthly Summary of Mortgage Activities For the Period Ending May 2006

NEWS ITEMS

Inside this issue:

Mortgage Fraud Declines

1

Press Releases

1

Net Branching

2

Predatory Lending

2

Customer Service Georgia

3

Administrative Actions

4

Fines & Licenses Revoked, Expired...etc.

6

License Approvals

8

2990 Brandywine Rd. Suite 200
Atlanta, GA 30341 Phone: 770.986.1269
Fax: 770.986.1029

Website URLs M&oWretbgasigtee FUrRaLusd&
In GFeionregsia DecFliinneess

of the Attorney General, law enforcement and prosecutors on local, state and federal levels, specific lenders in the industry, and the Georgia Real Estate Fraud Prevention & Awareness

According to the latest figures Coalition. It has definitely been a

released by the Mortgage Asset coordinated effort, which is what

Research Institute, Inc., it takes to adequately address

("MARI") in its April 2006 re- such a widespread problem."

port, mortgage fraud in Geor-

Press Releases
REVOCATION OF THE LICENSE OF ATLANTIC FINANCIAL MORTGAGE, INC. BECOMES FINAL
MAY 9, 2006

gia is on the decline. Georgia

On May 9, 2006, the Georgia

has dropped from first to third The Department currently super- Department of Banking and

in the nation in terms of mort- vises approximately 3,400 non- Finance's ("Department's")

gage fraud and recorded the depository mortgage lenders, decision to revoke the mort-

largest decrease in the MARI brokers, and processors. In gage broker's license of At-

Fraud Index during 2005, which 2003, due to the volume of mort- lantic Financial Mortgage,

indicates the amount of mort- gage fraud in the state of Geor- Inc., license number 18854,

gage fraud reported in each gia, the Department instituted a located at 3598 Clairmont

state. The report indicates the risk-based examination program, Road, Atlanta, Georgia 30319

decline may be due to passage of aggressive legislation and the

which primarily focuses on investigating reported fraudulent activ-

became final.

enforcement by Georgia offi- ity. Since the implementation of

cials.

the risk-based examination pro- This notice of intent to re-

gram, the volume of administra- voke license was issued by

tive actions and referrals to law the Department after it ob-

"While we are not happy that enforcement agencies have in- tained evidence that Atlantic

Georgia remains a state with a creased greatly. In 2005, 64 Financial Mortgage purpose-

significant amount of mortgage Cease and Desist Orders, 29 fully withheld or destroyed

fraud, we are definitely pleased Consent Orders and 6 Revoca- information that was re-

and encouraged that this re- tion Orders became final. In ad- quested during an examina-

port reflects the progress that dition, the Department made tion and failed to properly

is being made to combat the mortgage fraud referrals to law maintain a mortgage loan

problem in Georgia," stated enforcement agencies totaling transaction journal. Commissioner Rob Braswell. "I more than $77 million. think the dramatic reduction in

mortgage fraud in Georgia in

2005 is due to very aggressive

efforts by many parties, includ-

ing this Department, the Office

Continued on Page 2

Monthly Summary of Mortgage Activities For the Period Ending May 2006

Page 2

(Continued from Page 1)
REVOCATION OF THE LICENSE OF INTOWN FINANCING, INC . & CEASE AND DESIST ORDER TO SONIA BOOKER DANIELS
FINAL
MAY 15, 2006
On May 15, 2006, the Georgia Department of Banking and Finance's decision to revoke the mortgage broker's license of Intown Financing, Inc., license number 17325, located at 200 Renaissance Parkway, Suite 303, Atlanta, Georgia 30308 became final, as did the cease and desist order previously issued to its owner, Sonia Booker-Daniels.
These actions were upheld by the Office of State Administrative Hearings, which found that evidence existed showing that Intown Financing, Inc. and Ms. BookerDaniels made misrepresentations in loan files submitted to mortgage lenders.

expenses, loan applica-

tions, documentation or other operating results to

Predatory Lending

the licensee, this is gener-

ally evidence of net- HUD is proposing changes

branching.

to its regulations governing

The following factors are Fannie Mae and Freddie

used to determine if a Mac (collectively, the gov-

branch is a net-branch:

ernment sponsored enterprises or GSEs) to reinforce

The lessee or owner of the efforts of HUD and the

the property is not the GSEs to prevent predatory

licensee;

lending practices. The

Employees are not changes proposed by this

supervised and com- rule would allow HUD to

pensated by the licen- keep up-to-date with and

see, and are often combat new predatory

paid on a 1099 basis;

lending practices as they are discovered and, there-

Expenses of the fore, strengthen HUD's

branch are paid for by oversight role in monitoring

the branch and not GSE practices to ensure

accounted for on the that the loans the GSEs

books of the licensee-- purchase are not contrary

or a fee is charged to to responsible lending prac-

the branch by the li- tices. The proposal can be

censee which basically found under the 6-7-2006

covers all of the New Documents, Secre-

branch's

expenses tary of HUD's Regulation

paid for by the licen- at:

see; or

A licensed lender does http://hudclips.org/ not fund the loans made by its branch. DATES: Comment Due Date: August 7, 2006.

Net Branching
Unfortunately, it bears repeating that, unlike some states, Georgia does not allow for net branches.
When an existing licensee offers to allow another company or individual to use the licensee's name, license number, policies or procedures for a monthly operating fee or charge, without having that company being supervised by, or submitting

FY 2007 LICENSE DISTRIBUTION REMINDER
NEW LICENSES FOR THE YEAR
WILL BE MAILED OUT BEGINNING
MID TO LATE JUNE 2006.
IF YOU DO NOT RECEIVE YOUR
NEW LICENSE BY THE FIRST WEEK
OF JULY, PLEASE CONTACT THE OFFICE.
The renewal website https://
bkgfin.dbf.state.ga.us/ MortgageDocs/
FY2007Renewal.html

ADDRESSES: Interested persons are invited to submit comments regarding this rule to the Regulations Division, Office of General Counsel, Department of Housing and Urban Development, 451 Seventh Street, SW., Room 10276, Washington, DC 20410-
0500. Interested persons also may submit comments electronically through the Federal e Rulemaking Por-
tal at:

http://www.regulations.gov.

UPCOMING SPEAKING ENGAGEMENTS
Deputy Commissioner for NDFI Rod Carnes and Director of Money Service Businesses and Mortgage Licensing Melinda Kinard will be speaking to the following organization:
GAMB-Georgia
Association of Mortgage Brokers, Thursday, June 15, 2006,9:00 a.m. Cobb Galleria
Useful Links
MORTGAGE FORMS: CODE, REGULATIONS & APPLICATIONS
HTTP://WWW.STATE.GA.US/M ORTGAGE_FORMS.HTML
UPDATING LICENSE INFORMATION
HTTP://WWW.STATE.GA.US/D BF/MORTGAGE_FORMS.HTML#
ONLINE
PRESS RELEASES HTTP://WWW.GANET.ORG/DB
F/BULLETINS.HTML
Continued on Page 3

Customer Service Georgia

Page 3

Governor Sonny Perdue has launched a campaign to put new emphasis on customer service, emphasizing easier access to government services, faster processes so customers can get business done quickly, and friendlier service in a customerfocused, goal-oriented culture. It is the Department's goal to provide excellent customer service, meeting and exceeding the expectations of our customers. Along those lines, we would like to recognize the following individuals for going above and beyond in serving our customers:

Larry Shelley, Supervisory Manager Mortgage: Larry received a thank you letter with comments such as "Thank you very much for going the extra mile..." and "We really appreciate your diligence in getting information that allowed you to honor our request instead of just saying `no'."
Deborah Long, Assistant Review Examiner: Deborah received a thank you note with comments such as "How very nice it was of you to help me out with the information and to help me understand certain information..." and "Thank you for your time and consideration, your help was greatly appreciated."
Melinda Kinard, Director of Money Service Businesses and Mortgage Licensing: Melinda received an e-mail from a licensee saying "Thanks for taking care of that like you said you would! Every time I call your department, I get nice people that truly help, thanks so much!"
Janet Anderson, Senior Mortgage Review Examiner: Janet received a thank-you card for her efforts to assist an applicant through some pending matters concerning the application, saying "Great Appreciation".

The following, while not individual recognition, is noted to commend the NonDepository Financial Institutions Division and the IT staff for the online license renewal process for mortgage licensees and registrants. Automation of formerly paper-based systems has greatly improved the process and a renewal applicant is able to review online the status of his/her application. We received several comments regarding the on-line renewal process such as:
"Thank you for simplifying the process for us! I had no problem whatsoever." and "The online renewal process is great!"

CONGRATULATIONS AND GREAT JOB!!

Continued on Page 4

Administrative Actions

For the Period Ending May 2006 Page 4

CEASE AND DESIST ORDERS--ISSUED
Anderson-Torres, Nuri N., Atlanta, GA (license no. 18838) Cease and Desist Order issued April 13, 2006 became final on May 12, 2006.
Daniels, Sonia Booker, Atlanta, GA Cease and Desist Order issued January 4, 2005 became final on May 15, 2006.
Fast Funding Mortgage, LLC, Tarzana, CA Cease and Desist Order issued April 27, 2006 became final on May 28, 2006.
Fennell, Ronald V., Athens, GA (license no. 20376) Cease and Desist Order issued April 13, 2006 became final on May 12, 2006.
Graham, Toni S., Stone Mountain, GA Cease and Desist Order issued April 6, 2006 became final on May 7, 2006.
Jeffcoat, Tammy Lorraine, Cartersville, GA (license no. 20085) Cease and Desist Order issued April 13, 2006 became final on May 12, 2006.
Knox, Derrick Anthony, Stone Mountain, GA (license no. 19306) Cease and Desist Order issued May 1, 2006 became final on May 28, 2006.
Krug, Michael T., Stockbridge, GA (license no. 14013) Cease and Desist Order issued April 13, 2006 became final on May 12, 2006.
Loach (Beaty), Mindy, Ringgold, GA Cease and Desist Order issued April 13, 2006 became final on May 14, 2006.
Mainstream Mortgage, Inc., Tucker, GA (license no. 6897) Cease and Desist issued April 26, 2006 became final on May 27, 2006.
McGarvey, John Randolph, Duluth, GA (license no. 19267) Cease and Desist issued April 13, 2006 became final on May 12, 2006.
Nguyen, Tich Van, Atlanta, GA Cease and Desist issued April 14, 2006 became final on May 5, 2006.

Continued on Page 5

Administrative Actions

For the Period Ending May 2006 Page 5

CEASE AND DESIST ORDERS--ISSUED (Continued)
Premium Mortgage Group, Inc., Savannah, GA (license no. 20321) Cease and Desist issued April 27, 2006 became final on May 27, 2006.

True Mortgage Corp., Alpharetta, GA (license no. 18616) Cease and Desist issued April 11, 2006 became final on May 11, 2006.

Turner, Jerry L., Duluth, GA (license no. 15723) - Cease and Desist issued April 13, 2006 became final on May 12, 2006

CEASE AND DESIST ORDERS--LIFTED

None
FINAL CONSENT ORDERS--ISSUED

None
SUPERIOR COURT INJUNCTIONS

None

Continued on Page 6

Monthly Summary of Mortgage Activities For the Period Ending May 2006
FINE PUBLICATION

Page 6

Information regarding fines assessed against a specific licensee, and against whom there are no pending administrative actions, is available on an individual licensee basis by submitting a written request to the following e-mail address: dbfmort@dbf.state.ga.us

4 Licensees fined for Advertising Violations 3 Licensees fined for Background Checks 6 Licensees fined for Books & Records 1 Licensee fined for Employment of a Felon 1 Licensee fined for GaFLA

FINE REASON
5 Licensees fined for Loans Files not properly maintained 3 Licensees fined for Prohibited Acts 1 Licensee fined for Renewal filed late 1 Licensee fined for Doing business w/ unlicensed entity 1 Licensee fined for Miscellaneous/Other

LICENSEES/REGISTRANTS REVOKED, EXPIRED, SURRENDERED, WITHDRAWN OR DENIED

In May 2006

ID# NAME

CODE REVOKED

EXPIRED

SURRENDERED

WITHDRAWN

DENIED

6897 MAINSTREAM MTG INC BD

6978 MILTON MTG SVCS INC BD

12747 ACCREDITED MTG & FUNDING

BD

14013 KRUG, MICHAEL T

BD

05-27-2006 05-12-2006

05-02-2006 05-15-2006

14396 AMERICAP MTG CORP BD

05-04-2006

15014 IVANHOE FINL INC

LD

05-22-2006

15182 MTG 4U GA INC

LD

05-17-2006

15465 AMER FINL NETWORK

INC

LD

05-03-2006

15723 TURNER, JERRY L

BD

05-12-2006

17325 INTOWN FINANCING,

INC.

BD

18616 TRUE MTG CORP

BD

5-15-2006

05-11-2006

18824 IMAGINE MTG SOLU-

TIONS LLC

BD

18828 ACOUSTIC HM LOANS

LLC

LD

05-15-2006 05-03-2006

Continued on Page 7

Monthly Summary of Mortgage Activities For the Period Ending May 2006

Page 7

LICENSEES/REGISTRANTS REVOKED, EXPIRED, SURRENDERED, WITHDRAWN OR DENIED

In May 2006

ID# NAME

CODE

18838 ANDERSON-TORRES, NURI N

BD

18854 ATLANTIC FINL MTG INC

BD

19156 PAINLESS PROCESSING INC

PD

19267 MCGARVEY, JOHN RANDOLPH

BD

19306 KNOX, DERRICK ANTHONY

BD

19568

STATEWIDE FUNDING INC

BD

20085 JEFFCOAT, TAMMY LORRAINE

BD

20321 PREMIUM MTG GRP INC

BD

20376 FENNELL, RONALD VINCE

BD

20461 AA LENDING CORP

BD

REVOKED 05-09-2006

EXPIRED 05-12-2006

SURRENDERED

WITHDRAWN

DENIED

05-12-2006 05-28-2006
05-12-2006 05-27-2006 05-12-2006

05-22-2006 05-30-2006 05-02-2006

20640 FAST TRACK FUNDING CORP

BD

20978 ALLIANCE CAP MTG CORP

BD

21179

SOUTHERN LENDERS INC

BD

21207 SE GA EQUITY INC

BD

05-17-2006 05-17-2006 05-15-2006 05-15-2006

21281 MTG SOURCE GA INC BD

05-15-2006

TOTAL: 28

Continued on Page 8

Monthly Summary of Mortgage Activities For the Period Ending May 2006

Page 8

LICENSEES/REGISTRANTS APPROVED OR REINSTATED IN MAY 2006

ID# COMPANY NAME

CITY

MB

ORIGINAL

ST CODE APPROVAL RENEWAL REINSTATED

21299 Kingdom Lending, LLC

Covington

GA

L

21320 Investors Lending Group, Inc.

Melbourne Beach FL

B

21360 21392

Northgate Real Estate & Development Premier First Financial, LLC

Roswell College Park

GA

B

GA

B

21398 Legacy Financial Corporation

Rockville

MD

L

21407 Real Financial, LLC

Southfield

MI

B

21413 Nickel City Funding, Inc.

Orchard Park

NY

B

21420 Today's Mortgages, LLC

Cumming

GA

B

21443 The Milan Group, Inc.

Doral

FL

L

13697 Money Source, Inc. +

Marietta

GA

B

16400 Sunrise Financial, Inc. +

Chicago

IL

B

18158 21274

Dunwoody Mortgage Services, LLC * PRN Revitalization, Inc.

Suwanee Augusta

GA

L

GA

B

21277 Nations Mortgage Capital, Inc.

Biloxi

MS

B

21371 21387

Simons & Leoni Home Loans, LLC Metro One Mortgage Corp.

Tampa Lauderhill

FL

L

FL

B

21406 BH Mortgage Partners, LLC

Suwanee

GA

B

21419 21421 21427

Acworth Mortgage and Billing, LLC First Equity Financial Corporation ABC Mortgage Funding, Inc.

Kennesaw Parsippany Hudson

GA

B

NJ

L

FL

L

21452 Meca Financial Group, Inc.

Tucker

GA

B

21474 21490

Dunhill Mtgs and Leasing Svc, LLC Options Mortgage Services, LLC

Lawrenceville Buford

GA

B

GA

B

21491 Martin Sidney Riggle

Acworth

GA

B

20674 Your Mortgage Source, LLC *

Alpharetta

GA

L

21388 Sams Mortgage Solutions, Inc. Davie

FL

B

21393 21409

Equity Leadership Mortgage Group, Inc. J C Mortgage Group, LLC

Centennial Buford

CO

B

GA

B

21410 Empyrean Mortgage, LLC

Ellijay

GA

B

21414 First Coast Mortgage, LLC

Jacksonville

FL

B

21433 Samuel H. Barbre

Summerville

GA

B

21450 Lending 1st Mortgage (Inc.)

Anaheim

CA

L

21457 Timothy Alfred Roberts

Kennesaw

GA

B

21461 Jay C. Agan, Inc.

Atlanta

GA

B

05-05-2006 05-05-2006 05-05-2006
05-05-2006 05-05-2006 05-05-2006 05-05-2006 05-05-2006 05-05-2006 07-10-1998 05-11-2001 03-07-2003
05-12-2006 05-12-2006 05-12-2006
05-12-2006 05-12-2006 05-12-2006
05-12-2006
05-12-2006 05-12-2006 05-12-2006
05-12-2006 05-12-2006 09-16-2005 05-19-2006 05-19-2006
05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006

05-05-2006 05-05-2006 05-05-2006
05-05-2006 05-05-2006 05-05-2006 05-05-2006 05-05-2006 05-05-2006 05-12-2006 05-12-2006 05-12-2006
05-12-2006 05-12-2006 05-12-2006
05-12-2006 05-12-2006 05-12-2006
05-12-2006
05-12-2006 05-12-2006 05-12-2006
05-12-2006 05-12-2006 05-19-2006 05-19-2006 05-19-2006
05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006 05-19-2006

Continued on Page 9

Monthly Summary of Mortgage Activities For the Period Ending May 2006

Page 9

LICENSEES/REGISTRANTS APPROVED OR REINSTATED IN MAY 2006

ID# COMPANY NAME

CITY

21466 A and E Foundation, LLC

21467 21489 21492

Option One Lending Solutions, Inc. All Capital Mortgage Funding, Inc. BCE Financial Corporation

21510 Allied Mortgage Group, Inc.

14840 20482 21375

Apex Lending, Inc. * First Fidelity Centers, Inc. + Charles Edward Tolliver, Sr.

21445 21447

M H & R Financial Services, Inc. Timothy Jay Anthony

21470 Lisa Kalein McDaniel

21497 American Titan Mortgage, LLC

21515 21516 21518

New Horizon Home Loans, LLC Mortgage Sources Corp. (Kansas) eMit Mortgage, Inc.

19134 20445

Financial Resources and Assistance of the Lakes Region, Inc.
The Loan Page, Inc.

18022 N B Mortgage, Inc.

TOTAL: 52

Issaquah Norcross
Hialeah
Atlanta Bala Cynwyd Indian Shores Tarzana Atlanta Atlanta
Kennesaw Marietta Hiram Sugar Hill
Overland Park
Duluth Meredith
Kirkland Jonesboro

MB ORIGINAL

ST CODE APPROVAL

RE-

REINSTATED

NEWAL

WA

B

05-19-2006 05-19-2006

GA

B

05-19-2006 05-19-2006

FL

B

05-19-2006 05-19-2006

GA

B

PA

L

FL

L

CA

B

GA

B

GA

B

05-19-2006 05-19-2006 09-10-1999 06-17-2005 05-26-2006 05-26-2006

05-19-2006 05-19-2006 05-26-2006 05-26-2006 05-26-2006 05-26-2006

GA

B

GA

B

GA

B

GA

B

05-26-2006 05-26-2006 05-26-2006 05-26-2006

05-26-2006 05-26-2006 05-26-2006 05-26-2006

KS

B

05-26-2006 05-26-2006

GA

B

NH

B

05-26-2006 04-02-2004

05-26-2006 05-05-2006

05-05-2006

WA

B

GA

B

09-23-2005 01-10-2003

05-05-2006 05-26-2006

05-05-2006 05-26-2006

MB CODES B = BROKER L = LENDER R = REGISTRANT

*

Upgrade Broker to Lender

+

Downgrade Lender to Broker

#

Upgrade Lender to Registrant



Downgrade Registrant to Lender

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