MetLife to Pay $123.5 Million in Fraud Probe at Ex-Lending Unit

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MetLife Inc., the largest U.S. life insurer, agreed to pay $123.5 million to resolve a U.S. probe into shoddy loans at a discontinued mortgage unit.

The operation originated loans that were insured by the Federal Housing Administration, even though they failed to meet government standards, the U.S. Department of Justice said in a statement Wednesday.