Wells Fargo sued for million dollar mortgage fraud


The US government has filed a lawsuit against Wells Fargo bank for mortgage fraud.

The suit alleges that the bank lied about the quality of mortgages it handled leading to huge losses for the government when the loans went bad.

It is seeking damages for hundreds of millions of dollars in insurance claims already paid to Wells Fargo by the Federal Housing Administration (FHA).

Wells Fargo has denied the allegations.

Samira Hussain reports from New York.

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.