Bank of America Reaches $5 Million False Claims Act Accord

By Chris Bruce

Bank of America has reached a $5 million settlement with the U.S. government on claims that its foreclosure practices violated the False Claims Act.

The accord, set out in a joint dismissal filed Jan. 5 before Judge Ursula Ungaro of the U.S. District Court for the Southern District of Florida, resolves U.S. claims and those of Bruce Jacobs, the plaintiff in the original 2015 lawsuit. Jacobs, a realtor, said Bank of America and various affiliates violated the FCA by making wrongful claims for Federal Housing Administration insurance after submitting misleading statements about mortgage notes and assignments.

The ...