East Hartford mortage lender ‘verging on ruin’ amid dispute over call-center employees

East Hartford-based mortgage lender 1st Alliance Lending is “verging on ruin” after having its mortgage license suspended by the Connecticut Department of Banking last month, the Wall Street Journal reported. The suspension came after an audit sparked when the department learned the lender was using unlicensed employees in its call centers. 1st Alliance chief executive John Dilorio, however, claims his company was unfairly targeted. “What started out as your classic case of regulatory creep evolved into a handful of state employees acting in bad faith in an environment that is unchecked and unaccountable,” DiIorio maintained. But a Banking Department spokesman said the department was simply ensuring the mortgage lender was “play[ing] by the same rules as others within the industry.” [WSJ]