Bloomberg-

Wells Fargo & Co. (WFC), the biggest U.S. home lender, must face a lawsuit that accuses the bank of overcharging veterans under a federal loan-refinancing program, a judge ruled.

U.S. District Judge Amy Totenberg in Atlanta denied Wells Fargo’s bid to dismiss the complaint filed by two mortgage brokers, saying their allegations are “plausible and sufficient,” according to a decision filed yesterday.

The plaintiffs “have made factually specific allegations regarding mechanics of defendant’s routine practice of creating false documents and making false statements to the VA in order to obtain guarantees on loans,” Totenberg wrote.

[BLOOMBERG]

Comments

comments