DENVER—Two mortgage brokerages under investigation by the state have filed lawsuits alleging that officials from the Colorado Division of Real Estate violated their privacy rights.
The Division of Real Estate has subpoenaed bank records for Acclaim Mortgage Inc. owner Daniel Gordon, Vintage Mortgage Co. President Nicholas Barta and Barta’s wife as part of an investigation that resulted from complaints filed against Acclaim and Gordon. Division Director Erin Toll says the complaint alleged Gordon was originating loans for unlicensed mortgage brokers.
Toll says account statements, copies of checks and evidence of deposits that the division requested would show payments to unlicensed brokers, but Gordon’s attorney, Wayne Vaden, calls it a witch hunt.
A judge has asked the division to cease its investigation until a hearing set for Oct. 19.
A law that took effect Aug. 5 requires mortgage-loan originators to register with a national database. All licensees also must pass an FBI background check. On Aug. 31, the Division of Real Estate deactivated 4,560 licenses of brokers who failed to comply.
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Information from: The Denver Post,
