Industry NewsMortgage

Georgia banking regulators take action against mortgage originators

Companies and their principals accused of operating without appropriate licenses

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The Georgia Department of Banking and Finance this month took action against two mortgage originators for engaging in unlicensed activity. On April 8, the department issued a cease-and-desist order to Miami-based mortgage lender Yale Mortgage Funding LLC for allegedly engaging in mortgage lending activities without a license. The department will rescind the order if Yale Mortgage Funding shows proof of licensure within 30 days. Just a week later, on April 15, the department entered into a consent order with City Mortgage Corp. (also known as i3 Lending) and its owners, Stephen Mark Wilson and Sujay Kanth, as well as ESS Solutions LLC. According to the department, ESS Solutions acquired City Mortgage in April 2014 and changed its name to i3 Lending, but because the department never approved a trade name for City Mortgage using i3Lending or any other proposed name, i3 Lending was therefore operating without a mortgage origination license. Pursuant to Georgia law, “no person...