Deutsche Bank AG, Germany’s biggest bank, may face $118 million in U.S. penalties to cover taxpayer losses on a federally insured apartment loan owned and serviced by one of the company’s subsidiaries.
The $45.6 million multifamily loan, which was underwritten in 2003 by another lender and later acquired by the Frankfurt- based bank, cost U.S. taxpayers $29.8 million in losses to the Department of Housing and Urban Development’s mortgage insurance program, according to a report dated yesterday by HUD’s Office of Inspector General.
Source: Bloomberg Businessweek
