the lawMortgage servicing company Lender Processing Services agreed to pay $35 million to resolve a federal criminal investigation into foreclosure fraud, the Justice Department said on Friday.

The settlement resolves allegations over the company’s involvement in what the government called a six-year scheme to prepare and file more than 1 million fraudulently signed and notarized mortgage documents in property recorders’ offices nationwide from 2003 to 2009.  The practice became known as robo-signing.

Lorraine Brown, the former CEO of DocX LLC, was found guilty, November 20, 2012, for conspiracy to commit mail and wire fraud.  Sentencing for Brown is scheduled April 23.  She faces a possible sentence of a maximum of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.

LPS entered into a two-year non-prosecution agreement that requires it to meet many conditions, including cooperating in federal probes, and alert the government to any abuses in mortgage or foreclosure documentation services at the company.

The $35 million payment includes criminal penalties and forfeiture and must be made within 10 days to the U.S. Marshals Service and the U.S. Treasury, the Justice Department said.  The company said on Friday that it has a $223 million reserve that covers the Justice Department accord and prior settlements.

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U.S. Foreclosure Map