Consent Order  Mortgage America Home Loans, Inc. and Lisa M. Cenca, Individually

Date:	10/01/2010
Organization:	Division of Banks
Docket Number:	2010-208-CO

Mortgage America Home Loans, Inc. and Lisa M. Cenca, Individually - Consent Order

COMMONWEALTH OF MASSACHUSETTS

Suffolk, SS.

COMMISSIONER OF BANKS
MORTGAGE BROKER AND
MORTGAGE LOAN
ORIGINATOR LICENSING
Docket No. 2010-208-CO

CONSENT ORDER

In the Matter of
MORTGAGE AMERICA HOME LOANS, INC.
Mortgage Broker License No. MB4907

and

Lisa M. Cenca, Individually
Mortgage Loan Originator License No. MLO31841

WHEREAS, MORTGAGE AMERICA HOME LOANS, INC., ("Mortgage America" or the "Corporation") and LISA M. CENCA ("Lisa Cenca") a licensed mortgage broker under Massachusetts General Laws chapter 255E, section 2 and a licensed mortgage loan originator under Massachusetts General Laws chapter 255F, section 2, respectively, have been advised of their right to Notice and Hearing pursuant to Massachusetts General Laws chapter 30A, section 10, and having waived those rights, entered into a STIPULATION AND CONSENT TO THE ISSUANCE OF A CONSENT ORDER ("Consent Agreement") with representatives of the Division of Banks ("Division") dated October 1, 2010, whereby, solely for the purpose of settling this matter and without admitting any allegations or implications of fact or the existence of any violations of applicable state and federal statutes or rules, Mortgage America and Lisa Cenca agree to the issuance of this CONSENT ORDER ("Consent Order") by the Commissioner of Banks ("Commissioner");

WHEREAS, the Division of Banks ("Division"), through the Commissioner, has jurisdiction over the licensing and regulation of those engaged in the business of a mortgage broker in Massachusetts pursuant to Massachusetts General Laws chapter 255E, section 2 and the Division's regulations 209 CMR 42.00 et seq.;

WHEREAS, the Division, through the Commissioner, also has jurisdiction over the licensing and regulation of persons engaged in the business of a mortgage loan originator in Massachusetts pursuant to Massachusetts General Laws chapter 255F, section 2 and the Division's regulations 209 CMR 41.00 et seq.;

WHEREAS, Lisa Cenca at all relevant times was the President and 100% owner of Mortgage America, and according to records maintained by the Division, identified herself as President and "control person," as that term is defined, of Mortgage America;

WHEREAS, on or about April 15, 2010, pursuant to the authority granted under Massachusetts General Laws chapter 255E, section 8, the Division commenced an examination/inspection (the "2010 examination/inspection") of the books, accounts, papers, records, and files maintained by Mortgage America;

WHEREAS, the Division's Report of Examination/Inspection on Consumer Compliance (the "Report") for Mortgage America which was issued to Mortgage America on or about June 21, 2010, presented the findings of the 2010 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;

WHEREAS, on or about June 21, 2010, based upon the findings of the 2010 examination/inspection, the Division issued a FINDINGS OF FACT AND TEMPORARY ORDER TO CEASE AND DESIST (the "Temporary Order"), Docket No. 2010-208, against Mortgage America and Lisa Cenca Invidiually;

WHEREAS, on or about July 6, 2010, Lisa Cenca appeared at the Division's offices for an informal conference to discuss the matters raised in the Report;

WHEREAS, the parties now seek to resolve by mutual agreement, the matters identified in the Report;

WHEREAS, in recognition of the Division and Lisa Cenca having reached the following mutual agreement under this Consent Order to resolve the matters raised by the Temporary Order, the Commissioner has terminated the Temporary Order on this 1 ^st day of October, 2010.

ORDER

NOW COME the parties in the above-captioned matter, the Division, Mortgage America, and Lisa Cenca, and stipulate and agree as follows:

1. Immediately upon the execution of the Consent Order, Mortgage America and Lisa Cenca will refrain from originating or accepting any additional Massachusetts residential mortgage loan applications, or otherwise engaging in the mortgage broker business, as those terms are defined under General Laws chapter 255E, section 1.
2. Immediately upon the execution of this Consent Order, Lisa Cenca will refrain from negotiating, soliciting, arranging, providing or accepting any Massachusetts residential mortgage loan application, or assisting any consumer in completing such application, or otherwise engaging in the mortgage loan originator business, as that term is defined under General Laws chapter 255F, section 1.
3. Immediately upon the execution of this Consent Order, Lisa Cenca will surrender Mortgage America's Massachusetts mortgage broker license MB4907 by: (a) returning the original license certificate to the Division at 1000 Washington Street, Boston, Massachusetts 02118; and (b) submitting a "i>Request to Surrender"filing to the Division, on behalf of Mortgage America, through the Nationwide Mortgage Licensing System (NMLS).
4. Immediately upon the execution of this Consent Order, Lisa Cenca will surrender her Massachusetts mortgage loan originator license no. MLO31841 by submitting a " Request to Surrender" filing to the Division through the NMLS.
5. Mortgage America and Lisa Cenca will refrain from submitting an application to obtain a mortgage broker and/or mortgage lender license from the Commissioner for a period of twenty-four (24) months from the effective date of the Temporary Order. The provisions of this Paragraph shall also prohibit Lisa Cenca from taking an ownership position in an entity licensed under General Laws chapter 255E and from participating, in any manner, in the responsibilities or duties of a control person of such an entity, during the above referenced 24-month term. For the purposes of this Consent Order, "control" shall be defined as the power, directly or indirectly, to direct the management or policies of a company, whether through ownership of securities, by contract, or otherwise.
6. Lisa Cenca will refrain from submitting an application to obtain a mortgage loan originator license from the Commissioner for a period of twenty-four (24) months from the effective date of the Temporary Order.
7. To the extent that Mortgage America and Lisa Cenca wish to resume business as a mortgage broker and/or mortgage lender at the expiration of the 24-month term as set forth above, Mortgage America and Lisa Cenca shall be required to submit a completed application to obtain the relevant license(s) from the Commissioner. Unless the Commissioner, in his sole discretion, agrees to accept such an application earlier, Mortgage America and Lisa Cenca agree not to submit such an application until the expiration of the 24-month term. The Commissioner shall have all of the discretion set forth within General Laws chapter 255E, section 4 and the Division's regulation 209 CMR 42.00 et seq. in determining whether to issue a license to Mortgage America and Lisa Cenca to conduct the licensed business, provided however, that any such application shall not be denied solely on the basis of the Temporary Order.
8. To the extent that Lisa Cenca wishes to resume business as a mortgage loan originator at the expiration of the 24-month term as set forth above, Lisa Cenca shall be required to submit a completed application to obtain the relevant license from the Commissioner. Unless the Commissioner, in his sole discretion, agrees to accept such an application earlier, Lisa Cenca agrees not to submit such an application until the expiration of the 24-month term. The Commissioner shall have all of the discretion set forth within General Laws chapter 255F, section 4 and the Division's regulation 209 CMR 41.00 et seq. in determining whether to issue a license to Lisa Cenca to conduct the licensed business, provided however, that any such application shall not be denied solely on the basis of the Temporary Order.
9. The provisions of this Consent Order shall not limit, estop, or otherwise prevent any other state agency or department, from taking any other action affecting Mortgage America or Lisa Cenca.
10. This Consent Order shall become effective immediately upon the date of its issuance.
11. In accordance with the terms of the Consent Agreement entered by Mortgage America, Lisa Cenca, and the Commissioner, Mortgage America and Lisa Cenca have waived all rights of appeal that they may have relative to the Consent Order or any of its provisions.
12. The provisions of this Consent Order shall remain effective and enforceable except to the extent that, and until such time as, any provisions of this Consent Order shall have been modified, terminated, suspended, or set aside by the Commissioner or upon an order of a court of competent jurisdiction.
13. This Consent Order and the Consent Agreement are the complete documents representing the resolution of this matter.

 

BY ORDER AND DIRECTION OF THE COMMISSIONER OF BANKS.

Dated at Boston, Massachusetts, this 1st day of October, 2010

By: Steven L. Antonakes
Commissioner of Banks
Commonwealth of Massachusetts