Temporary Order to Cease and Desist  Team Mortgage, LLC

Date:	06/09/2008
Organization:	Division of Banks
Docket Number:	2008-010
Location:	Plaistow, NH

Team Mortgage, LLC, Plaistow, NH - Temporary Order to Cease and Desist

COMMONWEALTH OF MASSACHUSETTS

Suffolk, SS.

COMMISSIONER OF BANKS
MORTGAGE BROKER
LICENSING
Docket No. 2008-010

FINDINGS OF FACT AND TEMPORARY ORDER TO CEASE AND DESIST

In the Matter of
TEAM MORTGAGE, LLC
Plaistow, New Hampshire

Mortgage Broker License No. MB3359

The Commissioner of Banks ("Commissioner") having determined that TEAM MORTGAGE, LLC located at 13A Main Street, Plaistow, New Hampshire ("Team Mortgage" or the "Company"), has engaged in, or is engaging in, or is about to engage in, acts or practices constituting violations of Massachusetts General Laws chapter 255E and applicable regulations found at 209 CMR 42.00 et seq., hereby issues the following FINDINGS OF FACT AND TEMPORARY ORDER TO CEASE AND DESIST ("Temporary Order") pursuant to General Laws chapter 255E, section 7(b).

FINDINGS OF FACT

1. The Division of Banks ("Division"), through the Commissioner, has jurisdiction over the licensing and regulation of persons and entities engaged in the business of a mortgage broker in Massachusetts pursuant to Massachusetts General Laws chapter 255E, section 2.
2. Team Mortgage is, and at all relevant times has been, a foreign limited liability company conducting business in the Commonwealth. Team Mortgage's main office is located at 13A Main Street, Plaistow, New Hampshire.
3. Team Mortgage is licensed by the Commissioner as a mortgage broker under Massachusetts General Laws chapter 255E, section 2. According to records maintained on file with the Division, the Commissioner initially issued a mortgage broker license, license number MB3359, to Team Mortgage to engage in the business of a mortgage broker on or about March 30, 2004. License number MB3359 authorized Team Mortgage to conduct its mortgage broker business from the Company's main office located at 13A Main Street, Plaistow, New Hampshire.
4. At all relevant times, Joseph Davey has been the Principal and sole owner of Team Mortgage.
5. Pursuant to Massachusetts General Laws chapter 255E, section 8, the Division is authorized to inspect the books, accounts, papers, records, and files of mortgage brokers transacting business in Massachusetts to determine compliance with the provisions of Massachusetts General Laws chapter 255E and any rule, or regulation issued thereunder, and with any law, rule, or regulation applicable to the conduct of the business of a mortgage broker.
6. On November 7, 2006, pursuant to the authority granted under Massachusetts General Laws chapter 255E, section 8, the Division commenced an examination/inspection of the books, accounts, papers, records, and files maintained by Team Mortgage to evaluate the Company's compliance with the laws, regulations, and regulatory bulletins applicable to the conduct of a mortgage broker business in Massachusetts (the "2006 examination/inspection").
7. The Division's Report of Examination/Inspection on Consumer Compliance (the "Report"), which was issued to Team Mortgage on the effective date of this Temporary Order, presented the findings of the 2006 examination/inspection and alleged significant failures to comply with applicable state and federal laws, rules, regulations, and regulatory bulletins governing the conduct of those engaged in the business of a mortgage broker in Massachusetts.

   A. Failure to Provide Notification of Regulatory Actions

8. The Division's regulation at 209 CMR 42.12(1)(c) states, in part:

   (1) A Licensee shall notify the Commissioner immediately, and in writing within one business day, of the occurrence of any of the following significant developments: . . . (c) Receiving notification of the institution of license denial, cease and desist, suspension or revocation procedures, or other formal or informal regulatory action, in any state against the Licensee, and the reasons thereof.

9. On April 4, 2007, the State of New Hampshire Banking Department ("New Hampshire Department") issued an Order to Show Cause, Case No. 07-054, against Team Mortgage, which was amended pursuant to an Amendment to Order to Show Cause on April 13, 2007 (collectively, the "Amended New Hampshire Order"). The Amended New Hampshire Order is incorporated by reference and made a part of this Temporary Order as though fully set forth herein.
10. The Amended New Hampshire Order referenced a prior Cease and Desist Order issued against the Company by the New Hampshire Department for the Company's operation of an unlicensed branch. The Amended New Hampshire Order does not reference the exact date of the aforementioned Cease and Desist Order, however the case number is listed as 06-275 and reference is made to a December 11, 2006 Consent Order resolving the pertinent issues.
11. The Statement of Allegations contained in the Amended New Hampshire Order set forth: 66 counts of "illegal co-brokering;" one count of "failure to maintain security policy;" 10 counts of "failure to protect consumer information;" 44 counts of "failure to maintain records to enable compliance determination;" and 13 counts of "dishonest or unethical practices."
12. Pursuant to a Notice of Hearing dated May 21, 2007, the New Hampshire Department scheduled an adjudicative proceeding to occur on June 18 and June 19, 2007 for the purpose of permitting the Company and Mr. Davey to show compliance with applicable New Hampshire statutes.
13. The adjudicative hearing referenced above was continued and ultimately began on December 11, 2007 and then continued for several days over the following three months thereafter. The hearing was eventually continued until March 11, 2008, upon joint motion of the parties.
14. Team Mortgage and Mr. Davey failed to appear in person or by representative at the March 11, 2008 adjudicative proceeding.
15. Based upon the parties' failure to appear, the New Hampshire Department issued a final Order for Default Judgment against Team Mortgage and Mr. Davey on March 26, 2008 which is incorporated by reference and made a part of this Temporary Order as though fully set forth herein. Pursuant to the Order for Default Judgment, Team Mortgage's New Hampshire mortgage broker license was revoked.
16. As of the effective date of this Temporary Order, the Division has not received notification from Team Mortgage of the occurrence of any of the events referenced above in Paragraphs 9 through 15 of this Temporary Order.

    B. Unfair or Deceptive Acts Resulting in License Revocation in Another Jurisdiction

17. General Laws chapter 255E, section 6 states, in part, that, "The commissioner may suspend or revoke any license issued pursuant to this chapter if said commissioner finds that: (ii) any fact or condition exists which, if it had existed at the time of the original application for such license, would have warranted the commissioner in refusing to issue such license."
18. The Division's regulation 209 CMR 42.07(2)(b) states, in part, that:

    The Commissioner may also deny such an application if the Applicant has: (4.) engaged in conduct which has resulted in the suspension or revocation of its license to engage in the business of a mortgage broker by the licensing authority of this or any other state.

19. By operation of New Hampshire law, Team Mortgage's default during the New Hampshire adjudicative proceeding referenced above constituted an admission of the facts alleged in the Amended Order to Show Cause, as more fully described in Paragraph 11 of this Temporary Order and resulted in the revocation of its New Hampshire mortgage broker license.

    C. Engaging Unauthorized Individuals to Originate Mortgage Loans in Massachusetts

20. Books and records reviewed by the Division's examiners during the 2006 examination/inspection indicated that Team Mortgage, at all relevant times, retained unlicensed individuals, who were acting in the capacity of mortgage brokers and who were associated with and under the direction of the Company to conduct the mortgage broker business.
21. By prior published opinions, the Division has set forth the standards which an individual who is not employed by the licensed entity must satisfy, in advance, when seeking to operate in the capacity of a mortgage broker who is associated with and under the direction of a licensed mortgage broker under General Laws chapter 255E, section 2.
22. Pursuant to the Division's published opinions, including but not limited to Opinion 97-222, the exemption from licensure is available only to individuals and not to a corporate entity. The relationship between the licensee and the individual must be exclusive and the individual must execute an Exemption Affidavit to that effect. The licensee must execute a Statement of Accountability for all activities of the individual associated with it. The individual seeking the exemption must be primarily engaged in the activity it is seeking to perform under the direction of a licensed mortgage broker.
23. By further published opinions, including but not limited to Opinion 97-061 the Division has established that "this exemption would be effective provided that the Licensee completes and files with the Division a Statement of Accountability agreeing to take responsibility for the exempt individual's activities and the individual seeking the exemption completes and files the required Exemption Affidavit."
24. Books and records reviewed by the Division's examiners during the 2006 examination/inspection revealed that Team Mortgage did not file the required Exemption Affidavits and Statements of Accountability for 25 independent contractors who were operating on behalf of the Company.
25. Because Team Mortgage had failed to file the aforementioned required Exemption Affidavits and Statements of Accountability, the Division was unable to determine if Team Mortgage had satisfied the qualifying standards for retaining individuals in the capacity of independent contractors associated with and under the direction of a licensed mortgage broker in accordance with the relevant opinions published by the Division.
26. Books and records reviewed by the Division's examiners during the 2006 examination/inspection also revealed that 6 individuals originated loans in Massachusetts on behalf of Team Mortgage in their capacity as independent contractors, but were not engaged in the activity of a mortgage broker as their primary occupation, thereby failing to satisfy the qualifying standards for exemption from licensure.

    D. Conducting Business with Unlicensed Entities

27. The Attorney General's regulation 940 CMR 8.06(9) states:

    It is an unfair or deceptive act or practice for a mortgage broker or lender to conduct business with a person which should be licensed under M.G.L. c. 255E, and which it knows or should know is an unlicensed mortgage broker or lender.

28. By prior published opinions, the Division has set forth the standards which an individual must satisfy, in advance, when seeking to operate in the capacity of an independent contractor associated with a licensed mortgage broker under General Laws chapter 255E, section 2. The Division's published opinions have consistently held that the exemption from licensure referenced herein is available exclusively to individuals engaging in the licensed business in the name of the licensee and is not available to an independent corporation, partnership, association, or other legal entity that is separate and distinct from the legal entity in whose name the license was issued.
29. Books and records reviewed during the 2006 examination/inspection revealed that Team Mortgage compensated an unlicensed business entity for loans originated through Team Mortgage, as specifically described in the Report.

    E. Payment of Referral Fees

30. The Real Estate Settlement Procedures Act's, ("RESPA") implementing regulation, 24 CFR 3500.14(b) states in part:

    No person shall give . . . any fee, kickback or other thing of value pursuant to any agreement or understanding, oral or otherwise, that business incident to or part of a settlement service involving a federally related mortgage loan shall be referred to any person. Any referral of a settlement service is not a compensable service, except as set forth in '3500.14(g)(1). A company may not pay any other company or the employees of any other company for the referral of settlement service business.

31. The RESPA implementing regulation, 24 CFR 3500.14(c) states, in part:

    No person shall give . . . any portion, split, or percentage of any charge made or received for the rendering of a settlement service in connection with a transaction involving a federally related mortgage loan other than for services actually performed. A charge by a person for which no or nominal services are performed or for which duplicative fees are charged is an unearned fee and violates this section.

32. Books and records reviewed during the 2006 examination/inspection revealed that during the period from April through September of 2006, Team Mortgage compensated the unlicensed individual identified in the Report in excess of $94,200 for services provided in connection with mortgage loans originated by the Company.
33. Upon inquiry, Mr. Davey did not clarify the exact nature of the services performed, but confirmed that the individual did not perform minimum services required to justify payment of a fee as set forth by applicable interpretive guidance by the government agency responsible for interpreting RESPA.
34. The Division's examiners determined that Team Mortgage calculated the compensation paid to the individual based upon a percentage of the commission that Team Mortgage received from the lender for each applicable loan.

    F. Undisclosed Fees

35. Massachusetts General Laws chapter 183, section 63 states, in part:

    A mortgagee, or a mortgage lender or mortgage broker as defined in section one of chapter two hundred and fifty-five E, shall not charge a loan fee, finder's fee, points, so-called, or similar fees in a mortgage transaction involving residential property located in the commonwealth of four or less units and occupied in whole or in part by the mortgagor, except to the extent that such fees or points have been previously disclosed to the mortgagor in writing, which disclosure may be in the form required by section seventeen D of chapter one hundred and eighty-four, or such other form which discloses said fees or points. A mortgagor shall not be obligated to pay fees or points which have not been previously disclosed as required herein.

36. Books and records reviewed by the Division's examiners during the 2006 examination/inspection indicate, as more fully described in the Report, that the Company engaged in a pattern or practice of understatements or omissions of the fees charged to consumers by Team Mortgage.
37. The Company's books and records indicate that processing fees, application fees, loan fees, or similar fees (collectively, "broker fees") were collected at the loan closing in amounts which Team Mortgage's books and records failed to illustrate had been fully and accurately disclosed to consumers, in writing, to the extent charged at closing, if at all.

    G. Failure to Properly Maintain Books and Records

38. The Division's regulation 209 CMR 42.09(1) states, in part, that:

    Each Licensee shall keep and use its books, records and accounts in a manner which will allow the Commissioner to determine whether the Licensee is complying with the provisions of M.G.L. c. 255E and applicable state and federal laws and regulations. Each Licensee shall comply with the provisions of 209 CMR 48.00...

    (b)The mortgage broker ' shall retain for a minimum of three years after a mortgage loan is made the following: the original loan origination and compensation agreement as set out in 209 CMR 42.16; a copy of the settlement statement; an account of fees received in connection with the loan; correspondence; papers or records relating to the loan; and such other documents as the Commissioner may require.

39. Books and records reviewed by the Division's examiners during the 2006 examination/inspection indicated that Team Mortgage failed to retain sufficient documentation to enable the Commissioner to determine whether the Company was complying with certain laws and regulations governing mortgage brokers in Massachusetts. Specifically, Team Mortgage failed to retain nine (9) of the closed loan files that the Division's examiners requested for review and failed to retain signed copies of the relevant Loan Origination and Compensation Agreement.
40. Additionally, the Division's regulation 209 CMR 48.04 states, in part:

    Each Licensee shall keep and use its books, records, and accounts within the Commonwealth, except, however, that with the prior approval by the Commissioner of a written plan, a Licensee may keep such books, records, and accounts at a location, or locations, outside of the Commonwealth.

41. The Division's regulation 209 CMR 48.06 states, in part, that:

    A Licensee may amend its written plan from time to time and such amendment shall not be effective until approved by the Commissioner.

42. According to Division records, Team Mortgage received approval from the Division to maintain its books and records at 13A Main Street, Plaistow, New Hampshire.
43. The 2006 examination/inspection revealed that Team Mortgage maintains its loan files at an off-site location in Atkinson, New Hampshire. Team Mortgage neither filed for nor received approval from the Division to maintain its records at that location.

    H. Issuance of Mortgage Loan Rate Lock Agreements

44. The Division's regulation 209 CMR 42.12A(3) states, in part:

    It is a prohibited act or practice for a mortgage broker to issue a mortgage loan rate lock commitment on its own behalf or on behalf of a mortgage lender, or to imply to a consumer that it can lock a rate on behalf of the consumer. Nothing herein shall be construed to prohibit a mortgage broker from taking a rate lock commitment fee for transmittal to a mortgage lender prior to the issuance by the mortgage lender of a commitment or approval, provided that prior to the taking of a rate lock commitment fee:

    ..................................................

    (b) the rate lock commitment fee is made payable by the consumer to the mortgage lender which intends to make the loan. A mortgage broker may only take a rate lock commitment fee for transmittal to the mortgage lender which intends to make the loan. Nothing herein shall prohibit a mortgage broker from negotiating the terms or conditions of a mortgage loan, including the interest rate, on behalf of a consumer. A mortgage broker may also use such forms or other evidence as desired to allow a consumer to indicate a preference to enter into a mortgage rate lock commitment with a mortgage lender. However, any such forms or evidence must clearly and conspicuously contain the following statement: "This is a request, not a commitment, to lock your interest rate with a mortgage lender".

45. The 2006 examination/inspection revealed that Team Mortgage provided consumers with the following forms that state or imply that Team Mortgage can lock a mortgage rate on behalf of the consumer: "Acknowledgment of Rate Lock-In or Float Option;" and "Rate Options-Finance Agreement."
46. The forms referenced in the preceding paragraph did not contain the required language, "This is a request, not a commitment, to lock your interest rate with a mortgage lender."

    I. Providing Mortgage Lender Disclosures to Consumers

47. Books and records reviewed by the Division's examiners during the 2006 examination/inspection indicate that Team Mortgage routinely provided several mortgage lender disclosures to consumers.
48. The mortgage lender disclosures include, but are not limited to, Equal Credit Opportunity Notices, Servicing Disclosure Statements, and Notice to Applicant of Right to Receive Copy of Appraisal Report.
49. Massachusetts General Laws chapter 183, section 28C(a) states in part:

    A lender shall not knowingly make a home loan if the home loan pays off all or part of an existing home loan that was consummated within the prior 60 months or other debt of the borrower, unless the refinancing is in the borrower's interest. The "borrower's interest" shall be narrowly construed, and the burden is upon the lender to determine that the refinancing is in the borrower's interest.

50. The Division's regulation 209 CMR 53.07(1)(b) states in part:

    A lender may request that a borrower acknowledge receipt of such a worksheet or other documentation; provided, however, a lender shall not shift the burden to the borrower to demonstrate that a home loan is in the borrowers' interest.

51. Books and records reviewed by the Division's examiners during the 2006 examination/inspection revealed that Team Mortgage provided consumers with "Determination and Documentation of Borrower's Interest" and "Borrower's Attestation of Tangible Benefit" worksheets ("Worksheets"); documents that only mortgage lenders are authorized to provide to borrowers.
52. Books and records reviewed by the Division's examiners during the 2006 examination/inspection also revealed that the Worksheets provided to the applicable consumers shifted the burden to the consumers to demonstrate that the loan was in the borrowers' interest and to their benefit.

    J. Misleading Statements

53. The Attorney General's regulation 940 CMR 8.06(1) states, in part:

    It is an unfair or deceptive act or practice for a mortgage broker or lender to make any representation or statement of fact if the representation or statement is false or misleading, or has the tendency or capacity to be misleading.

54. Books and records reviewed during the 2006 examination revealed that Team Mortgage provided applicants with a Borrower's Certification and Authorization Form that contained language that was false or misleading or had the tendency or capacity to be false or misleading. Specifically, the Borrower's Certification and Authorization Form contained language which would present the appearance that Team Mortgage, a mortgage broker, was approving or funding the mortgage loan.

    CONCLUSIONS OF LAW

55. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage has failed to demonstrate the financial responsibility, character, reputation, integrity, and general fitness that would warrant the belief that the business will be operated honestly, fairly, and soundly in the public interest in violation of Massachusetts General Laws chapter 255E, section 4 and the Division's regulation 209 CMR 42.06(2)(c).
56. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage failed to notify the Commissioner of the multiple regulatory actions taken against the Company by the New Hampshire Banking Department, in violation of the Division's regulation 209 CMR 42.12(1)(c).
57. Based upon the information contained in Paragraphs 1 through 54, the admitted facts presented by the New Hampshire Banking Department relative to Team Mortgage, as specifically set forth in Paragraph 11 of this Temporary Order, fail to support a finding that Team Mortgage has maintained the financial responsibility, character, reputation, integrity, and general fitness that would warrant the belief that the business will be operated honestly, fairly, and soundly in the public interest in violation of Massachusetts General Laws chapter 255E, section 4 and the Division's regulation 209 CMR 42.06(2)(c).
58. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage has solicited or accepted residential mortgage loan applications for property located in Massachusetts from individuals engaging in the activity of a mortgage broker who were not employed by the Company and who otherwise failed to qualify for an exemption from licensure as set forth by the Division by prior published opinions, including without limitation Opinions 96-221, 97-061, and 97-222 in violation of General Laws chapter 255E, section 2.
59. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage compensated unlicensed entities for loans originated through the Company in violation of the Attorney General's regulation 940 CMR 8.06(9).
60. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage compensated an individual through payments of unlawful referral fees, in apparent violation of the RESPA implementing regulation 24 CFR 3500.14(b).
61. Based upon the information contained in Paragraphs 1 through 54, by charging loan fees, points, or similar fees in residential mortgage loan transactions in the Commonwealth, without disclosing such fees or points to the mortgagor, in writing, prior to the closing of the loan, Team Mortgage has violated Massachusetts General Laws chapter 183, section 63.
62. Based upon the information contained in Paragraphs 1 through 54, by failing to keep and use its books and records in a manner which would allow the Commissioner to determine whether the Company was complying with state and federal laws and regulations applicable to mortgage brokers, Team Mortgage has violated the Division's regulations 209 CMR 42.09(1) and 209 CMR 48.03.
63. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage provided consumers with written documentation that stated or implied that the Company was able to lock mortgage rates on behalf of the consumer, in violation of the Division's regulation 209 CMR 42.12A(3).
64. Based upon the information contained in Paragraphs 1 through 54, by providing disclosures to consumers that only lenders are authorized to provide Team Mortgage has exceeded its authority as a mortgage broker in violation of Massachusetts General Laws chapter 255E, section 2.
65. Based upon the information contained in Paragraphs 1 through 54, Team Mortgage provided disclosures to consumers that contained language that was false or misleading or had the tendency or capacity to be false or misleading, in violation of the Attorney General's regulation 940 CMR 8.06(1).
66. Based upon the information contained in Paragraphs 1 through 54, the Commissioner has determined that:
    1. Team Mortgage has engaged in, is engaging in, or is about to engage in, acts or practices which warrant the belief that it is not operating honestly, fairly, soundly and efficiently in the public interest in violation of standards governing the licensing and conduct of a mortgage broker including, but not limited to, the provisions of the Division's regulations at 209 CMR 42.00 et seq.; and
    2. The public interest will be irreparably harmed by delay in issuing an ORDER TO CEASE AND DESIST to Team Mortgage.
67. Based upon the information contained in Paragraphs 1 through 54, had the facts and conditions found therein existed at the time of Team Mortgage's original mortgage broker license application, the Commissioner would have been warranted in refusing to issue such license. Further, the facts and conditions set forth in Paragraphs 1 through 54 present sufficient grounds for the revocation of Team Mortgage's mortgage broker license pursuant to Massachusetts General Laws chapter 255E, section 6 and the Division's regulation at 209 CMR 42.07(2)(b) and 42.12A(17).

    ORDER TO CEASE AND DESIST

    After taking into consideration the FINDINGS OF FACT and CONCLUSIONS OF LAW stated herein, it is hereby:

68. ORDERED that Team Mortgage and any and all officers, directors, employees, independent contractors, or agents operating on behalf of Team Mortgage, and their successors or assigns, shall immediately cease engaging in the activities of a mortgage broker, as those activities are defined under Massachusetts General Laws chapter 255E, section 1, relative to any residential property in Massachusetts, not otherwise expressly permitted by the terms of this Temporary Order. Therefore, Team Mortgage is ordered to immediately cease soliciting or accepting, either directly or indirectly, any residential mortgage loan applications from consumers for residential property located in Massachusetts.
69. IT IS FURTHER ORDERED that Team Mortgage shall immediately place any fees previously collected from Massachusetts consumers relative to any pending mortgage loan applications in a separate escrow account maintained at a federally insured bank.
70. IT IS FURTHER ORDERED that Team Mortgage shall immediately place with one or more qualified broker(s) or lender(s), as appropriate based on the status of the application and with no loss to applicants, all of its pending Massachusetts residential mortgage loan applications. Team Mortgage shall obtain the prior approval of the Commissioner before placing such applications to the qualified lender(s) or broker(s) as appropriate.
71. IT IS FURTHER ORDERED that as soon as possible, but in no event later than two days after the effective date of this Temporary Order, Team Mortgage shall submit the following information in writing to the Commissioner:
    1. A detailed record of all pending residential mortgage loan applications which shall include, but is not limited to, the following: customer name, address, telephone number; all prepaid loan fees submitted by the customer; amount of loan; application status (i.e. filed, submitted to lenders); scheduled closing date; rate lock status; the location of all original open application files; and a list of applicable wholesale lenders. The latter list should include telephone numbers of contact persons familiar with Team Mortgage's submitted loans.
72. IT IS FURTHER ORDERED that Team Mortgage shall immediately secure all pending mortgage loan application files and, to the extent that any original documents must be forwarded to the relevant mortgage lender or mortgage broker pursuant to Paragraph [] of this Temporary Order, a copy of such document, correspondence, or paper relating to the mortgage loan shall be retained in Team Mortgage's books and records and shall be available to the Commissioner, in their entirety, immediately upon request on the date and time specified by the Commissioner.
73. IT IS FURTHER ORDERED that within sixty (60) days of the effective date of this Temporary Order, the Company shall cause to be made a review of all Massachusetts residential mortgage loans originated by Team Mortgage since March 30, 2004 and shall identify all mortgage loan transactions in which the amount actually paid by the consumer as a loan fee, mortgage broker fee, application fee, or similar fee, as recorded on the settlement agreement, exceeded the amount disclosed to the consumer, in writing, for such fees prior to closing;
    1. In each mortgage loan transaction identified pursuant to Paragraph [], Team Mortgage shall reimburse the consumer the difference between the actual charge assessed to the individual consumer as a loan fee, mortgage broker fee, processing fee, or similar fee and the amount disclosed in writing for such fees prior to closing;
    2. Within sixty (60) days of the effective date of this Temporary Order, Team Mortgage shall submit to the Commissioner a list of all borrowers identified pursuant to the above described review of residential mortgage loan transactions to whom a reimbursement is owed by the Company in accordance with this Paragraph of the Temporary Order; and
    3. Within ninety (90) days of the effective date of this Temporary Order, Team Mortgage shall submit evidence of all reimbursements issued to consumers pursuant to this Paragraph of the Temporary Order, including the consumers' names, the dates the loans closed, check numbers, and the amount of the reimbursements.
74. IT IS FURTHER ORDERED that, within twenty (20) days of the effective date of this Temporary Order Team Mortgage shall submit a payment of four thousand, five hundred dollars ($4,500.00) in satisfaction of an administrative penalty collected in consideration of the Company's failure to maintain books and records in accordance with the Division's regulations 209 CMR 42.09 and 209 CMR 48.03. The Company shall remit payment pursuant to this Paragraph of the Temporary Order for the amounts due, payable to the "Commonwealth of Massachusetts," to the Office of the Commissioner of Banks, One South Station, 3 ^rd Floor, Boston, Massachusetts 02110. The Division shall remit the payment for deposit into the General Fund of the Commonwealth.
75. IT IS FURTHER ORDERED that this Temporary Order shall become effective immediately and shall remain in effect unless set aside, limited, or suspended by the Commissioner or upon court order after review under Massachusetts General Laws chapter 30A.
76. IT IS FURTHER ORDERED that a hearing will be scheduled on this matter to determine whether or not such Temporary Order shall become permanent and final only upon receipt of a written request for such a hearing from Team Mortgage within twenty (20) days of the effective date of this Temporary Order. If no hearing is requested within this twenty (20) day period, this Temporary Order shall become permanent and final until it is modified or vacated by the Commissioner.

By ORDER AND direction of the Commissioner of Banks.

Dated at Boston, Massachusetts, this 9th day of June, 2008.

By: Steven L. Antonakes
Commissioner of Banks