Bank of America Settles with Whistleblower for $14.5 Million

By Thomas McKinney

A former home appraiser, Kyle Lagow, will receive $14.5 million to settle his whistleblower lawsuit that accused mortgage lender Countrywide Financial (now owned by Bank of America) of inflating appraisals on government-insured mortgages.  The lawsuit triggered an investigation that resulted in a $1 billion settlement between Bank of America and the Justice Department over allegations of mortgage fraud.  The lawsuit was brought under the False Claims Act which allows people aware of wrongdoing against the government to bring suits on behalf of the government and share in the proceeds of any settlement.
Tom McKinney

About the Author
Tom McKinney is an experienced NJ Employment Lawyer in all major areas of labor and employment law, including discrimination, harassment, overtime violations, wage and hour claims, sexual harassment, wrongful discharge, Title VII, ADA, ADEA, FMLA, LAD, FLSA, and all other employment law claims. Tom is admitted to practice in the States of New Jersey and New York, United States District Court for the Eastern District of New York, Southern District of New York, District of New Jersey, and United States Court of Appeals for the Third Circuit. Prior to forming the firm, Tom practiced at Gibbons P.C. in Newark, NJ. If you have any questions regarding this article, contact Tom here today.