Mortgage brokers stung by subprime-loan criticism: Brokers aren't the only mortgage originators, and they feel unfairly singled out for an industrywide problem.

Byline: Jonathan D. Epstein

Apr. 15--Mortgage brokers are defending themselves against accusations by politicians and consumer advocates that they are to blame for causing the meltdown in the mortgage industry by giving loans to borrowers who couldn't afford them. Reacting to strong criticism, particularly from New York Sen. Charles E. Schumer, the brokers say it's unfair to paint the entire industry with the same brush because of the actions of a few bad players. "Don't just keep labeling mortgage brokers as the bad apples," said Nancy B. Gascoyne, a broker at MultiSource Funding in Cheektowaga, and past president of the New York Association of Mortgage Brokers. "There are things wrong in our industry, just the same way there are wrong things in our government," she said. "You've got to try to fix them as you go along." "In many ways, the broker's misunderstood. We seem to be taking the brunt of the ire," said Gregory A. Krauza, a broker at Twinstar Mortgage and current president of the state brokers' trade group. "Most mortgage brokers are local business people who rely on referrals and reputation. We are what is right about this business." Brokers say they're already subject to a good deal of …