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We reviewed an alleged loan origination fraud scheme involving a borrower purchasing a home in which the loan was insured under the U.S. Department of Housing and Urban Development (HUD), Federal Housing Administration (FHA) program.  The alleged scheme involved submitting a false loan application to obtain an FHA-insured loan on a home in Brentwood, CA.  Based in part on our review, HUD filed a complaint against the borrower under the Program Fraud Civil Remedies Act of 1986, 31 U.S.C. (United States Code) 3801-3812.  The complaint alleged that the borrower falsely certified in the loan application that he intended to reside in the California property as his primary residence; however, he did not live in the home or intend to do so.  HUD also alleged that the borrower caused the submission of false Federal income tax returns to HUD in support of the loan application.  The complaint further alleged that the submission of false, fictitious, or fraudulent certifications and supporting tax documentation caused the mortgage holder of the FHA-insured mortgage loan to submit a false, fictitious, or fraudulent claim to FHA for $749,381 in insurance benefits.  On January 27, 2014, the borrower entered into a settlement agreement with HUD.  He agreed to pay $57,500 to HUD to resolve the matter.  HUD and the borrower entered into the agreement to avoid litigation and seek a satisfactory resolution of the dispute without the expense and uncertainty of further litigation.