The federal Consumer Financial Protection Bureau said in a lawsuit that a unit of Warren Buffett's Berkshire Hathaway ignored red flags that borrowers couldn't afford the mortgages they were given to buy manufactured homes from another Berkshire company.

The U.S. Consumer Financial Protection Bureau sued a lender owned by Warren Buffett's Berkshire Hathaway on Monday, accusing it of pushing borrowers into unaffordable mortgages to buy homes from Clayton Homes,

A federal consumer bureau claims Vanderbilt Mortgage, owned by Berkshire Hathaway, made loans to buyers of manufactured homes it knew could not repay them.

Vanderbilt relied on unrealistic expectations of what borrowers would need financially after making their mortgage payment, according to the complaint.

The U.S. Consumer Financial Protection Bureau sued a unit of Warren Buffett's Berkshire Hathaway on Monday, accusing it of pushing borrowers into unaffordable loans to buy homes from Clayton Homes, Berkshire's manufactured housing business.

The Consumer Financial Protection Bureau (CFPB) has filed a lawsuit alleging that Vanderbilt Mortgage & Finance, a unit of Warren Buffett’s Berkshire Hathaway, “ignored clear and obvious red flags” when approving mortgages for the purchase of manufactured homes from another Berkshire company,

The Consumer Financial Protection Bureau (CFPB) said that Vanderbilt Mortgage & Finance trapped "people in risky loans."

The CFPB says that Vanderbilt Mortgage & Finance, owned by Berkshire Hathaway, ignored evidence that borrowers couldn't afford loans to buy manufactured homes.

A Berkshire Hathaway unit that is a major lender to people buying mobile homes intentionally failed to qualify borrowers, the Consumer Financial Protection Bureau alleged in a complaint. As a result,