California Seeks to Suspend Ocwen’s Mortgage License, Stock Tanks
(Reuters) – California is seeking to suspend Ocwen Financial Corp’s license to operate in the state, saying the mortgage collection company failed to submit papers showing that it complies with laws, state regulators said.
California’s Department of Business Oversight (DBO), which licenses non-bank mortgage lenders and servicers, said it started asking Ocwen for information early last year and the company failed “to adequately respond” to the requests.
“Ocwen’s behavior is egregious enough that we believe it warrants suspension of license,” DBO spokesman Tom Dresslar told Reuters.
Ocwen was notified on Oct. 3 about the DBO’s action related to untimely or incomplete production of information and documentation during a routine regulatory examination, the company told Reuters in an email on Tuesday.