The fraud was exposed by a former Academy underwriter. She received a qui tam whistleblower award of $11.5M.
Utah-based Academy Mortgage has paid $38.5 million to settle allegations that it violated the False Claims Act by falsely certifying its compliance with underwriting requirements for federally insured mortgages.
The fraud was exposed by a former Academy underwriter who filed a False Claims Act whistleblower lawsuit alleging that Academy issued numerous loans without regard to whether they met FHA-HUD criteria. She received 30% of the settlement proceeds—$11.5 million—as a whistleblower award.