The Federal Housing Administration’s (FHA) Mortgagee Review Board (MRB) has announced sanctions against 240 FHA-approved lenders.

“It’s never been more important that lenders doing business with FHA apply our standards to each and every loan they originate and underwrite,” said Acting FHA Commissioner Carol Galante.

“FHA requirements ensure homeowners are put on a path of sustainable homeownership and that ultimately helps stabilize entire neighborhoods and communities,” Galante continued.

Actions taken against the 240 lenders include reprimands, probations, suspensions, and civil money penalties. In addition, some lenders will have their FHA-approval revoked.

MRB has taken more than 2,300 administrative actions against lenders since 2009.

Last year, MRB administrative actions reached a record high of 1,600.

Since 2009, FHA has enacted several rules aimed at increasing risk management.

Such rules include increases in net worth requirements, tougher lender approval criteria, and increased liability for lenders in regards to oversight of mortgage brokers.

When FHA-approved lenders violate program requirements, MRB can take a range of actions depending on the severity of the violation.

For minor violations, MRB can impose monetary penalties, issue probations, or enter settlement agreements.

When a lender commits a major violation, MRB may withdraw its FHA approval.

For more information on the 240 lenders sanctioned, read the full MRB Federal Register Notice.