HOUSING AND URBAN DEVELOPMENT ACT OF 1970: Sec. 912 (equity skimming) Public Law 91–609, as amended 84 Stat. 1814, as amended HOUSING AND URBAN DEVELOPMENT ACT OF 1970: Sec. 912 (equity skimming) 609 102–54 Statute Compilation United States House of Representatives Office of the Legislative Counsel text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. GPO Statute Compilations USLM converter, version 20210527.1 2021-10-15 National Urban Policy and New Community Development Act of 1970 Housing and Urban Development Act of 1970 5240 91 1970-12-31 HOUSING AND URBAN DEVELOPMENT ACT OF 1970: Sec. 912 (equity skimming) [Public Law 91–609; 84 Stat. 1814; 12 U.S.C. 1709–2] [As Amended Through P.L. 102–54, Enacted June 13, 1991] [Currency: This publication is a compilation of the text of section 912 of Public Law 91–609. It was last amended by the public law listed in the As Amended Through note above and below at the bottom of each page of the pdf version and reflects current law through the date of the enactment of the public law listed at https://www.govinfo.gov/app/collection/comps/] [Note: While this publication does not represent an official version of any Federal statute, substantial efforts have been made to ensure the accuracy of its contents. The official version of Federal law is found in the United States Statutes at Large and in the United States Code. The legal effect to be given to the Statutes at Large and the United States Code is established by statute (1 U.S.C. 112, 204).]
equity skimming Sec. 912. [12 U.S.C. 1709–2] Whoever, with intent to defraud, willfully engages in a pattern or practice of— (1) purchasing one- to four-family dwellings (including condominiums and cooperatives) which are subject to a loan in default at time of purchase or in default within one year subsequent to the purchase and the loan is secured by a mortgage or deed of trust insured or held by the Secretary of Housing and Urban Development or guaranteed by the Department of Veterans Affairs, or the loan is made by the Department of Veterans Affairs, (2) failing to make payments under the mortgage or deed of trust as the payments become due, regardless of whether the purchaser is obligated on the loan, and (3) applying or authorizing the application of rents from such dwellings for his own use, shall be fined not more than $250,000 or imprisoned not more than 5 years, or both. This section shall apply to a purchaser of such a dwelling, or a beneficial owner under any business organization or trust purchasing such dwelling, or to an officer, director, or agent of any such purchaser. Nothing in this section shall apply to the purchaser of only one such dwelling.