“Our review was significantly hindered by Bank of America’s reluctance to allow us to interview employees or provide data and information in a timely manner,” said William Nixon, an assistant regional inspector general for HUD.
The declaration was dated June 1 and reportedly filed on June 8. (Read the filings here.)
The inspector general for HUD has been investigating Bank of America’s foreclosure practices on what may be billions of dollars worth of taxpayer-backed loans. From October 2008 to September 2010, Bank of America submitted 40,219 claims on loans backed by Federal Housing Authority. The bank said it was owed $5.7 billion in taxpayer cash.
Nixon’s team was assigned to investigate the bank’s claims.
News of the confidential investigation into FHA claims was first broken by Shahein Nasiripour of the Huffington Post way back in May.
JPMorgan Chase , Wells Fargo , Citigroup and Ally Financial were also investigated, according to the Huffington Post.
It’s not clear why the results of these investigations remain confidential. If HUD’s inspectors are finding fraud on taxpayers by the banks, the public needs to know.
Questions? Comments? Email us atNetNet@cnbc.com
Follow John on Twitter @ twitter.com/Carney
Follow NetNet on Twitter @ twitter.com/CNBCnetnet
Facebook us @ www.facebook.com/NetNetCNBC