Beazer Homes Housebuilding Company In Atlanta Georgia Of Fortune 500

Beazer homes USA is an American Homebuilding organisation which is one of the Fortune 500 companies based in the city of Atltanta, Georgia. The company mainly deals in building and selling homes for single families in twenty states in the United States.It has a subsidiary company called the Beazer Mortgage Corporation which provides mortgage services for homes. In the years 2006 and 2007 this company won various awards in many Parade of Home festivals across the United States.

In spite of the fact that Beazer Homes USA is a Fortune 500 company it has had its share of controversies and brushes with the legal system. Although the company denies the allegations, media reports say that the company is being investigated by the federal department for mortgage fraud. In fact the company says that The United States Attorney has not made any allegetaions to the effect and the statement of a spokesperson from the Federal Bureau of Investigation regarding an investigation and the possibility of an investigation were not authorised.

Beazer Homes USA reported a filing of the Securities and Exchange Commission (SEC) on the 3rd of May, 2007and informal investigation has been launched by the SEC. The inquiry will find out wheter any entity or person to the company has been non compliant with the federal laws regarding securities. The company is involved in 2 homeowner class action lawsuits and a shareholder derivative complaint has been filed against many of its present and former officers and directors claiming that the company has violated and breached its fiduciary duty in its mortgage originating business.

But the company is cooperating with the Attorney of the United States and is vigorously defending each lawsuit. Beazer Homes has appointed an internal audit committee to review its mortgage origination department. It has also appointed independent legal counsellors and a financial consultant to help with the review. Media reports say that ten home buyers filed a lawsuit against the company and its sales agent named Roderick D. Williams, on the 4th of july in the year 2007, in the superior court of Mecklenburg County.

This lawsuit against Beazer Homes alleges that the extent to which fraudulent activities were prevelant in the company shows that the companys management had to have participated or approved of the activities. The homebuyers are fighting for their losses and also punitive damages from the company. According to an analysis conducted by The Charlotte observer it has come to light that fourteen of the 140 homes built and sold in Oak Hill have gone for foreclosure at an eight percent foreclosure rate.

Whereas in the United States not moe than three percent home purchases fall into foreclosure. Allegedly the sales agent of the company, made false documents to help the buyers to get loans to buy homes from Beazer Homes. The allegations also say that debts and assets were misrepresented on the loan applications and necessary information was concealed. Hence surrounded in controversy the company is still building homes in twenty of the United States. Beazer Homes