A crackdown that cracks me up

A recent press release from the Governor’s office touts the results of a “crackdown” on unlicensed mortgage brokers in Illinois.

According to the press release, a firm can be fined $2,500 for its first unlicensed loan originator and $500 for each additional one. What a piddling penalty, given the upside for breaking the law — originating a single jumbo loan can easily pay the fines for hiring half a dozen unlicensed staffers.

AM Mortgage, 6518 N Lincoln Ave, Chicago, for example, was cited for having 8 unlicensed brokers who originated 100 loans. Potential fine: $6,000. Potential fees earned: easily upwards of $250,000.

Am I alone in finding this a laugher rather than a crackdown?

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