Securities regulators in Manitoba are seeking to revoke a mortgage broker’s registration amid allegations that he repeatedly overstated clients’ incomes on mortgage applications.
The Manitoba Securities Commission (MSC) issued a notice of hearing and unveiled allegations against mortgage broker, Integrity Mortgage Services Inc., and its agent, Jason Zarrillo, alleging that they engaged in activity constituting fraud. According to the allegations, the regulator claims that they repeatedly overstated prospective borrowers’ incomes on mortgage applications.
For example, in one instance, it says that an altered T4 was submitted to a lending institution showing that a client earned almost $50,000 per year, when they actually earned less than $2,000. It says that a letter of employment showing a false hourly income and false number of hours per week was also provided. Based on the falsified documentation, a mortgage of almost $200,000 was funded by a lender, it reports.
The allegations have not been proven. The first appearance in the case is set for October 15. Based on the allegations, MSC staff are seeking to suspend and/or cancel their registrations.