Ocwen Loan Servicing Gets NY Federal Court to Toss Fraud Suit

Three whistleblowers failed to show that Ocwen Loan Servicing LLC and others violated the False Claims Act by making false statements under a federal mortgage modification program, a federal court said.

Premalal Ranasinghe, Irene Ranasinghe, and Keerthi Ranasinghe didn’t allege fraud with the particularity required by the federal rules of civil procedure, Judge Orelia E. Merchant of the US District Court for the Eastern District of New York said Wednesday in granting the defendants’ motion to dismiss.

The whistleblowers, who secured mortgages for New York properties, alleged that the defendants submitted false claims and made false statements under the Home ...