27114MPB
STATE OF MINNESOTA
COMMISSIONER OF COMMERCE
In the Matter ofthe Residential
Mortgage Originator License of
Nations Lending Corporation
License No. 20490001
NMLS ID No. 32416
TO:
CONSENT ORDER
Nations Lending Corporation
4 Summit Park Drive, Ste. 200
Independence, OH 44131
Commissioner of Commerce Mike Rothman (hereinafter "Commissioner") has
determined as follows:
The Commissioner has advised Nations Lending Corporation (hereinafter "Respondent") that he
is prepared to commence formal action pursuant to Minn. Stat. §§ 45.027, 58.12 (2012), and
other applicable statutes, against Respondent based on allegations that:
1. Respondent made, published, disseminated, or otherwise placed infrontof Minnesota
residents, advertisements containing statements and/or misrepresentations which, when
viewed together and in context, may create the Overall impression that the statements and/or
representations are misleading. Specifically, Respondent's advertisements:
a. Create a false sense of urgency by stating, "Respond within 72 hours or risk losing
your funding";
b. Mischaracterize the refinance as a "distribution process";
c. Describe the advertisement as a "Mortgage Reduction Notification"; and ,
d. Contain a copy of a check image which is referred to as a "Funding Voucher."
2 . Respondent made, published, disseminated, or otherwise placed infrontof Minnesota
residents, advertisements which employ pictures, phrases, symbols, fonts, formats, and other
means, that, when taken as a whole, may create the impression Respondent is a governmental
agency, or associated with or sponsored by a governmental agency. Specifically,
Respondent's advertisements contain:
a. Prominent images of Mount Rushmore;
b. Reference numbers winch Respondents^
fetters OB priorto thennmher and are located ahcvealmestatmg, "President Oh
Signs Landmark Sthnnfns Packaged
cB Boldprintstating, "Thisfoanis guaranteedhythefederal govemmentB^
d. The please mortgage Reduction Notification^inafontsimilartoahistoric
government document; and
e. Prominentreferences to the advertisementasa^ederalRelief Advisory".
3. A sarnple advertisement Respondent sent to prospective Minnesota consumers is attached as
AttachmentA.
Respondentaclmowledges that ithas heen advised ofits rights toahearingin this matter, to
present argument tothe Commissioner and to appeal from any adversedeterminationata
hearing, and Respondentherehyexpresslywaivesthoserights. Respondentfurther
aclmowledges that it hasheenrepresentedhy legal counsel throu^out these proceedings.
Respondenthas agreed to informal disposition ofthis matterwithoutahearing as provided
underMinn.Stat§14^^1^andMinn.R.1^^0^1^.
The following Order is in the puhhc interest.
NOW,TREREFORE^TTIS HEREBYORDEREDthat,pursuantto^^ Stat^ ^4^^^
and58.12^01^, as follows;
A. Respondent shall ensure advertisements made, published, disseminated, or otherwise
placed infrontofMinnesotaresidentscomplywithMinnesotastatute;
B. PursuanttoMinn.Stat.§45.027subd.6^01^,RespondentshallpaytotheStateof
Minnesotaacivil penalty of$500,000, of which $450,000 is stayed hased on comphance ^
with this Order;
C. The stayed portion ofthe civil penaltyis stayed forthe earherofthree years, orunless
and until, inthe solediscretion ofthe Conmnssioner, the Comnnssionerdetermm
Respondenthas not complied with this Consent Order;
D. RespondentunderstandsthattheConmnssioner'srightto act, as outlined ahove,is
linntedtoaperiodoftl^ee yearsfromthedate thatthis Consent Orderis executed bythe
Commissioneror his/her designated representative. Respondentagreesthatthe lift of
stay,should it occur, will hecome effective on the daythattheOrderis sent certifredmail
to Respondent;
E. Any lift of stay on the remaining civil penalty must be paid within thirty (3 0) days of the
day the Order is sent certified mail to Respondent. Beyond that period, the remaining
civil penalty will be filed by the Commissioner as a judgment against Respondent, in
district court without further notice or additional proceedings pursuant to Minn. Stat. §
16D.17 (2012). In addition, pursuant to Minn. Stat. § 16D.13 (2012), Respondent is
hereby notified that thirty (30) days after the.date of the Order, simple interest computed
in accordance with Minn. Stat. § 16D. 13, subd. 2 (2012) will begin to accrue on the civil
penalty imposed against Respondent; and
F. If the stay is not lifted during the three year period, the remaining stayed amount of the
civil penalty will be automatically rescinded by the Commissioner.
Dated:
Q/?/J*d3
By:
/
.
NA&CY J. J^PINK
Assistant Commissioner - Enforcement^
CONSENT TO ENTRY OF ORDER
The undersigned, Jeremy Edward Sopko, as President of Nations Lending Corporation,
states that he has read the foregoing Consent Order; that he knows and fully understands its
contents and effect; that he is authorized to execute this Consent to Entry of Order on behalf of
Nations Lending Corporation; that he has been advised of his right to a hearing; that he has been
represented by legal counsel in this matter; or that he has been advised of hisrightto be
represented by legal counsel and that he has waived this right; and that he consents to entry of
this Order by the Commissioner of Commerce. It is further expressly understood that this Order
constitutes the entire settlement agreement between the parties hereto, there being no other
promises or agreements, either express or implied.
Nations Lending Corporation
STATE OF
OWi\ o
COUNTY OF Cu^frVvoe^
Signed or attested before me on ~7 /<3 ^ j V7
(date)
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