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Court Nixes DOJ Bid to Toss Whistleblower’s Mortgage Fraud Case

The Trump administration has been hit with another setback in its effort to avoid prosecuting a whistleblower claim against Academy Mortgage. So report Law360 and Bloomberg Law.

The Ninth Circuit Court of Appeals has dismissed the U.S. Department of Justice’s appeal of a ruling denying its own motion to throw out the case, which was filed by a former Academy Mortgage underwriter. The DOJ argued the case was too burdensome.

As the Orange County Register previously reported, the former underwriter quoted a manager as saying that “decline is a curse word” and “we don’t use it” regarding mortgage applications. The company denied wrongdoing.

Read the court decision here (PDF).

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