Discovery of Fraud. In the event that the PFI discovers or has reasonable grounds to suspect that fraud was committed in connection with the origination of a Mortgage, the PFI shall immediately notify FHLB in writing of such discovery. Upon FHLB’s receipt of such notice or FHLB’s independent discovery or reasonable suspicion of fraud in connection with the origination of a Mortgage, FHLB may, in its sole and absolute discretion, report such fraud to investors, agencies, mortgage industry clearing houses and any other third parties FHLB believes have an interest in the fraud.
Discovery of Fraud. 10.2.1. The Consultant will not direct its work to the discovery of errors or misstatements that the Consultant considers to be immaterial.
