Citi unit suspends mortgage applications-Bloomberg
June 24 (Reuters) - Citigroup Inc (C.N) suspended loan applications at its CitiMortgage correspondent lending division after a review raised concerns about quality controls, Bloomberg said.
The division, which buys loans from banks and independent mortgage firms and produced half of the group's $115 billion in mortgages last year, stopped accepting new loans on Tuesday evening and will restart on July 6, the news agency said, citing a Citigroup letter to clients.
The review found that some property appraisals and income-verification documents were missing, it said.
"There remain key areas that fall short of our quality- control process," the news agency quoted the letter, signed by Brad Brunts, a managing director at CitiMortgage, as saying.
"We ask you to review your processes and join us in this effort to collectively address these areas of concern."
Citigroup could not be immediately reached for comment by Reuters.
(Reporting by Ajay Kamalakaran in Bangalore; editing by John Stonestreet)
