Reznick Government Principal and Senior Advisor Ken Donohue offered several steps mortgage industry key players must take to mitigate fraud during his session at the International Association of Financial Crimes Investigators Mid-Atlantic Conference on June 7 and 8 in Ocean City, Md. Other speakers included Retired Detective Sergeant and vice president of Crime Dex, James Hudson, and Western Union’s senior manager of corporate security, D.J. Knoedler.
Donohue’s suggestions included emphasizing own to rent opportunities, better management of loan fees and addressing the government’s role in Fannie Mae and Freddie Mac. Donohue also covered the nation’s crisis of confidence—the public’s deep mistrust in mortgage companies and banks—that is hindering the nation’s recovery. “Trust is lower than ever,” Donohue said. “Never in my 40-year law enforcement career have I seen this.”
Donohue went on to explain the lessons he learned from his experience in the Operation Watchdog initiative in which he worked to uncover instances of mortgage fraud. For the future, Donohue said, steps must be taken to deter continued fraud and abuse in any industry that has access to taxpayer funds and government grants.
As for the future of the rental housing business, Donohue noted that baby boomers and job growth will increase the need for rental properties. He also spoke about the Dodd-Frank Bill, discussing the nation’s options for single family and multifamily housing.
The training conference was held at the Clarion Resort Fontainebleau Hotel in Ocean City Md., on June 7 and 8. The event featured educational content, industry experts, world class speakers and networking opportunities.
About Ken Donohue
Mr. Donohue was the inspector general for HUD from 2002 until 2010. He was appointed to the position by President George W. Bush, following the attacks of September 11. At his post, he monitored the Lower Manhattan Development Corporation, which distributed some of the federal money spent on the recovery in New York City. He also oversaw new HUD offices opened in the Gulf region following Hurricane Katrina and monitored and tracked the government’s aid efforts in Louisiana, Mississippi and Texas. His next noteworthy project was Operation Stolen Dreams, an effort he led that garnered more than 1,500 arrests and $200 million in recoveries for mortgage fraud. Prior to that, he had a distinguished career in the Secret Service. Mr. Donohue is a frequent keynote speaker on the topics of housing, mortgage fraud, security, disaster preparedness and management and the prevention of government waste, fraud and abuse.
Reznick Government provides accounting, business advisory and financial services to federal, state and local governments, as well as public sector contractors. The firm’s experience includes audit, accounting and financial services, disaster program management, risk assessments, compliance and monitoring, and the design and implementation of technology solutions. The firm employs a comprehensive project management approach that provides clients with repeatable and reliable processes and delivers government services accounting insights that help government organizations improve communication, administer fiscal and operational strategies and meet compliance requirements.
Reznick Group Mergers with J.H. Cohn
Reznick Group, a top-20 national accounting, tax and business advisory firm founded in 1977, is excited to announce the merger with J.H. Cohn. The new company will be the 11th largest accounting, tax, and consulting firm in the United States with more than 2,000 employees, 25 offices, and combined revenues of more than $450 million. As part of Reznick Group, Reznick Government will now have access to two East Coast strongholds—New York City and Washington, D.C.—allowing us to bring expanded services and solution offerings in the areas of fraud detection and prevention, forensic consulting, regulatory and strategic compliance, risk management, internal auditing, IT auditing and security, and technology consulting.
The Association is a nonprofit international organization that provides services and an environment within which information about financial fraud, fraud investigation and fraud prevention methods can be collected, exchanged and taught for the common good of the financial payment industry and our global society.