California investigators found repeated violations of foreclosure laws at OneWest when the bank was being run by President-elect Donald Trump's Treasury secretary pick Steven Mnuchin, according to a memo obtained by The Intercept.
A spokesman for Mnuchin called the report "garbage."
During 2009 to 2015, when Mnuchin headed the bank, investigators "uncovered evidence suggestive of widespread misconduct," according to the 2013 memo from then-California Attorney General Kamala Harris' office. The period includes the aftermath of the Great Recession, which was triggered in part by banks approving risky mortgages.
Among the allegations, according to The Intercept: The bank "rushed delinquent homeowners out of their homes by violating notice and waiting period statutes, illegally backdated key documents, and effectively gamed foreclosure auctions."