Broadway Federal Bank controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2014
Church-mortgage loan officer kickback scheme
A former loan officer pleaded guilty after demanding that mortgage brokers return some or all of rebates that would ordinarily have been paid to them. The scheme involved church mortgage applications, including applications from borrowers who did not meet qualification standards. The officer reportedly received approximately $350,000, while the bank suffered at least $4.2 million in losses; later disclosures indicated that a larger portfolio of church loans could have exposed the bank to losses as high as $30 million.