Thursday, February 18, 2010
Congressman Kenny Marchant (TX) unveiled a new bill this month.
The Mortgage E-Verify Act would introduce as a condition that any applicant for modification of a home mortgage load held by Frannie Mae or Freddie Mac, or insured by the FHA, that the applicant be required to successfully pass through an E-Verify inquiry.
E-Verify is the federally mandated program that determines if someone is legally allowed to work and live in the United States. Marchant said, "E-Verify is a fantastic program which I have supported making permanent for employers. Mandating its use as a condition for home mortgage loan modifications would help eliminate waste, fraud, and abuse in the system and bring integrity to the process."
The bill is spurred by a major Nevada case where a mortgage company/branch manager conspired to manufacture and submit false employment and income documentation for borrowers, most of whom were illegal immigrants.