JPMorgan admits to defrauding FHA, VA for more than a decade

JPMorgan Chase has agreed to pay $614 million to the U.S. government after admitting that it defrauded the Federal Housing Administration and the Department of Veterans Affairs by selling them ineligible loans for more than a decade, Reuters reports.

Last year, JPMorgan shelled out about $20 billion to settle legal claims relating to mortgages, derivatives and power trading, according to Reuters.

The U.S. District Attorney for the Southern District of New York said the case was the eighth civil fraud lawsuit it’s brought since May 2011 alleging fraudulent lending practices by residential mortgage lenders. In 2012, the Manhattan U.S. Attorney reached settlements with CitiMortgage, Flagstar Bank, Deutsche Bank and a number of its subsidiaries. In October 2013, a jury returned a verdict against Countrywide, Bank of America, and Rebecca Mairone. Litigation is pending against Wells Fargo Bank, Allied Home Mortgage and Golden First Mortgage. Source: Reuters.