AUGUSTA--A licensed mortgage loan broker has entered into a Superior Court Consent Decree that resolves the state’s Unfair Trade Practice Act Complaint.

The State charged that Maine Mortgage Group helped falsify a homeowner's mortgage application in order to persuade the lender that the homeowner was a good loan risk.

The state’s complaint alleged that Maine Mortgage Group made a $7,000 short-term loan to the homeowner in order to make the homeowner’s assets appear larger than they actually were.

"This type of deceptive behavior is one of the causes of the current housing crisis,” Attorney General Steve Rowe said today. "Falsifying loan applications has resulted in many homeowners receiving loans that they cannot afford, eventually resulting in foreclosure."

Pursuant to the Court’s Order, Maine Mortgage Group must cease making such deceptive loans and provide restitution totaling $3,615. The company must also pay a $5,000 civil penalty. The Consent Decree states that Maine Mortgage Group does not admit to any wrongdoing.