Tuesday, November 12, 2013
(New York, NY) -- The government wants Bank of America to pay out 863-million dollars in damages to settle a mortgage fraud case. A federal jury found the company liable for fraud after it knowingly sold defective mortgages. In a Friday filing, the government claimed the penalties are necessary to send a clear message to the rest of the financial industry that mortgage fraud will not be tolerated. The case stems from the sale of bad mortgages to government-controlled Fannie Mae and Freddie Mac in 2007 and 2008.