On February 9, 2016, the Office of the Comptroller of Currency (“OCC”) announced that it has terminated mortgage servicing-related consent orders against two national banks because the banks now comply with the orders. In terminating the consent orders, the OCC assessed a $10 million civil money penalty against the first bank and a $3.4 million civil money penalty against the second bank. According to the OCC, the $10 million penalty is based on the first bank’s alleged violations of a 2011 consent order between October 1, 2014 and August 30, 2015 concerning the bank’s mortgage servicing practices. The $3.4 million penalty is based on the second bank’s alleged violations of a 2011 consent order between October 1, 2014 and December 31, 2015. The assessed penalties will be paid to the U.S. Treasury.
The consent orders were initially issued by the OCC and the former Office of Thrift Supervision in April 2011. They were subsequently amended in February 2013 and June 2015. The civil money penalties paid by the two banks are in addition to significant 2013 settlements the OCC reached with 15 banks.