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Fraudclosure | Michigan Attorney General Subpoenas (CRIMINAL) Lender Processing Services, Fidelity National Financial Inc. (FNF) and CT Corporation System in Probe
Michigan Attorney General Subpoenas Three Mortgage Processors in Probe
Bloomberg - The Michigan
attorney general’s office subpoenaed three mortgage processors
including Lender Processing Services as part of a state probe of
robo-signing.
Michigan Attorney General Bill Schuette said his office served Lender Processing, Fidelity National Financial Inc. (FNF)
and CT Corporation System with investigative subpoenas as affiliates of
DocX, a mortgage service support provider. The attorney general said he
is seeking information about documents signed by DocX employees as
“Linda Green.”
The subpoenas are part of a criminal investigation
into questionable mortgage documentation filed with Michigan’s Register
of Deeds offices, Schuette’s said in a statement today. The subpoenas
were approved by the state court in Lansing June 13 and require
responses by June 30, Schuette said.
Check out the rest here...
From the official press release...
Schuette Issues Subpoenas in Criminal Probe of Mortgage Processors
Contact: John Sellek or Joy Yearout 517-373-8060
Agency: Attorney General
LANSING-
Michigan Attorney General Bill Schuette today announced that he has
issued criminal investigative subpoenas against national mortgage
servicing support providers in an expansion of his office's
investigation into questionable mortgage documentation filed with
Michigan's Register of Deeds offices during the current foreclosure
crisis.
"Allegations of forged mortgage documents are very serious
and require a thorough investigation," said Schuette. "I will continue
to work closely with federal and local authorities to find answers on
behalf of Michigan homeowners."
The Attorney General is empowered
to pursue criminal investigative subpoenas under the Code of Criminal
Procedure (MCL 767A.2(2)). Schuette's office has filed criminal
investigative subpoenas against DocX, which provides mortgage support
services, including creating, processing or recording mortgage
assignments or other mortgage documentation. In addition to DocX, the
following companies affiliated with DocX were served with investigative
subpoenas by Schuette's office:
· Lender Processing Services, Inc.;
· Fidelity National Financial, Inc.; and
· CT Corporation System.
Schuette's
office has requested documents regarding the mortgage processing
companies' operations in relation to foreclosure and/or
bankruptcy-related document processing. The subpoenas were approved by
the 54B District Court in Ingham County on Monday, June 13, 2011, and
the information must be provided to the Attorney General's Office on or
before June 30, 2011.
In April 2011, Schuette launched an
investigation after county officials across the state reported that they
suspected Assignment of Mortgage documents filed in their offices may
have been forged. A recent "60 Minutes" news broadcast had shown that
the name "Linda Green" was signed to thousands of mortgage-related
documents nationwide, but with many different variations in
handwriting. County officials in Michigan reviewed their files and
found similar documents, thus raising questions about the authenticity
of the documents filed.
Schuette is investigating whether certain
mortgage processing companies permitted such robosigning of legal
documents filed in connection with Michigan foreclosures. Apart from
the question of whether falsified signatures were used, robosigning may
also involve individuals signing affidavits to signify that mortgage
documentation was properly prepared without ever conducting a proper
review of the documents. Although Michigan is a non-judicial
foreclosure state, Schuette is reviewing whether robosigned documents
may have been filed with courts in limited cases.
Schuette urges
any current or former employees of mortgage servicers or processing
companies with knowledge of unlawful practices related to mortgage
servicing or the execution of documents in Michigan to call the Attorney
General's Corporate Oversight Division at (517) 373-1160.
Schuette
is also continuing to work with fellow attorneys general in a national
workgroup examining mortgage lending practices, including the
robosigning issue and consumer protection concerns affecting homeowners
nationwide.
Schuette reminds Michigan homeowners that citizens do
not need to pay to speak with their lender or servicer or to obtain
outside assistance with foreclosure issues. Free local assistance with
foreclosure issues can be found by calling the Michigan State Housing
Development Authority at (866) 946-7432.
www.4closureFraud.org
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This should inspire confidence in the housing market ;-)
http://4closurefraud.org/2011/06/15/stop-thief-fbi-informs-family-they-bought-stolen-house-in-murrieta/
Fraud as far as the eye can see ......
Here is a question. I did a refi back in probably 2001 or 2002. I only owe about $76,000 to JPM Blythe/Dimon Scum Chase/Rockefeller Bank at fixed just under 5%. Chase sends me a free no fee refi via Fed Ex. They give you 3 or 4 days to sign and return. You have to rush or you lose it. Like a boiler room phone picth.
I will save about 60 basis points or a half percent. So why are they doing this? My credit is good, plenty of equity. I don't think they have the note. They are doing all this "we are so nice we are lowering your rate with no fees" BS to modify loans or make sur etheir arse is covered.
Any thoughts? Should I ask them for the note?
Be sure that you are signing a non-recourse note... like you did the first time.
Thanks. :-)
That's been a very deep scam they've been running for a while, and yes, you are correct inasmuch as it's a ploy to get you to sign new and ostensibly legally binding documentation, in the event there was a MERS transaction that could be argued 'broke' the chain of title.
As for asking for the note, I've yet to see any court decision that has given standing to someone claiming a legal right to receive or even be able to review the original docs that purportedly gave rise to the creation of a mortgage - absent actually being in default and foreclosure.
In fact, the only court decisions I've seen thus far are extremely malodorous as the judges have opined that until there is a breach of contract and foreclosure proceedings have been instituted, there is no legal right to receive and/or review such original mortgage docs.
If anyone can cite me a contrary decision I'd be grateful.
Thanks Truth and Rocky. I saw the Fed Ex, opened it and my blood started to boil. I loathe these people. It sucks that you cannot demand proof if you are all paid up and are always on time.
Meanwhile you have deadbeats who have not paid jack for 5 years, think they are entitled and they have money coming in. Gee - pay the mtg or part of it or lease a new BMW. :-(
I understand your problem here and think there is a solution.
Any institution found guilty of bifurcating a mortgage, essentially abusing their trust and killing the agreement, should be forced to accrue any funds paid subsequent to the action as principle payments only, just as they themselves account for them on their books. Any payments beyond the current valuation of the property to be refunded to the buyer. If the buyer defaulted early on in the agreement, then equity is what it is.
Personally, if I were a financial institution, I'd jump at this in lieu of possible 3X punitive possibilities.
Then there are the criminal charges....
If JPM wants you to sign something, you KNOW beyond a shadow of a doubt that you'd be a complete moron to sign. DO NOT SIGN.
Always good news. Hopefully the people asleep at the wheel when all of this was going on finally awaken and masterfully remedy the situation. I have my doubts, but good news nonetheless.
Agreed. Tomorrow is going to be a very interesting day at the court house! Cameras...action!
The time to fight is 'nigh..
Showdown at the Fraud Corral
Reply to self...just got word that opposing counsel just remembered...ummm...they'll all be "out of the office" at the time they scheduled the dubious foreclosure action.
Hell i am trying to figure out of the MERS assignor of my Mortgage "Mary Ladd" is a robosigner. Loved how my assignment had the date scratched out and additional assignees literally pencilled in.... :) May want to do a quiet title action if I can prove that.
Good luck with that. You'll get a house about the time hell freezes over. .9999999 chance of no, you calc the yes.
Many thanks to the fine folks at 4closureFraud.
Oh, here we go again. The freehousers are back with extra helping of BS this time. The only thing that is happening (positive) for consumers is a delay, not forgiveness. In fact, ALL of the major title insurance companies are insuring MERS, Linda Freen, Simon, Urban Roman, etc. If you want to sell your property, just call the title company and ask if they will provide insurance. 99% will say yes.
Just because the title insurer will insure it doesn't mean buyers are getting clear title. Fraudulent documents still cloud title...period.
Having title insurance theoretically means that the insurer will defend title for you. This is assuming that they haven't found a way to exclude this from coverage. Has anyone else noticed how the list of exclusions on title insurance policies keeps growing? What happens when there are scores of challenges to title? How many insurers will simply close their doors? Sure, there's the American Land Title Association umbrella, but if any significant numbers of transactions are deemed fraudulent or invalid, then all bets are off.
Having title insurance only means that someone might attempt to defend your title.
"Willingness" to insure does not equal willingness to pay claims. You can be damned sure this is detailed in the fine print. Insurers may be little more evolved than pond scum, morally speaking, but they ain't stupid.
Where are all the County Clerks via their Attorneys General? They should be seeking zillions in avoided filing fees. If the States need money, this is a pot full waiting to be tapped.
there is no requirement to record... no one can force you to record a deed... the penalty for failure to record is that you do not receive the protection of the state nor do you get to participate in its recording acts (providing you priority over other creditors). The vast majority of states allow assignments of mortgages to be unrecorded...
The recorders can seek prospective monies by changing the laws... but an attempt at retroactive application is futile.
Tax stamps are required on deeds.
Deeds convey an ownership interest in land, assignments of mortgages do not... a very important distinction... (again, aside from the fact that most jurisdictions actually passed legislation to allow unrecorded assignments of liens so long as the original/first of chain mortgage/deed of trust was recorded)
Tax stamps are not required on assignments... (hint: an ownership interest in the land did not transfer). However, the jurisdiction may require them to be recorded (also providing fees, generally per page).
Like I said...
You're thrashing around in the weeds while real money is on the table.
There isn't any money there... that's the point... the states DO NOT have a right to collect it after the fact... if you voluntarily submit yourself to the recording process, then you owe the fees (and possibly revenue stamps)... if you do not, then you do not owe anything... simple as that... you just risk not having the state's protection or otherwise benefitting from the recording acts.
But make no mistake about it, if I hold an unrecorded mortgage to your property, I can prance up to a court of general jurisdiction and enforce my lien against you. Maybe there will be some interjecting lienholders who decided to take refuge in the state's recording acts, but my lien is still valid...
What you're seeing from the recorders is nothing but desperation of entrenched entitlements meeting a deleveraging environment (forced, not voluntary heh) with decreased tax revenues... what they're trying to do has no legal basis as far as I can see (and they haven't articulated one either... which is telling). However, I suspect it will have a profound effect on prospective recording requirements and validity of instruments affecting land.
Fidelity National is a wonderful company. They are totally above board in everything they do.
Fidelity National Seeks 27% Florida Homeowners Rate Hikehttp://www.insurancejournal.com/news/southeast/2011/05/20/199457.htm
Money in the Bank! Gotta LOVE the sheep! they are to fucking stupid to know they are being ass fucked!
Ignorance is Bliss!
Stupidity is Heaven!!
Wanted to pass along something here. With all the mortgage fraud that went on in this country for which nobody was charged, or even investigated, the FBI has decided to start cracking some heads. Last week in northern Ohio they indicted three guys for mortgage fraud. They are accused of costing banks a whopping $1.2 million. Finally, the people who brought down our economy are being made to pay.
http://www.norwalkreflector.com/content/mortgage-fraud-prosecution-shows...
Are you are being sarcastic? It is not entirely clear.
Yes, would be the answer to that.
I'll bet Jamie Dimon is shaking in his boots.... It's just a matter of time 'til they work their way up. . .
wow. great news indeed. we need more of this. is there a way to collaterize these into a trust?
looks like courts, after 3+ years, are now starting to look into the issues brought up. TBTF is now TBTI - too big to ignore
TD months ago told us to request docs from our bank. The docs con't be forund. This is a tough crossroad I'm in, I'm tempted...
Remember that even if you pay off your loan you still may not be able to get clear title to the property. If the documentation is not in order you may have a cloud on the title that could be hard to remove.
At closing, you're going to remove all liens of record... anything that is left is an unrecorded lien at best. As a result, the purported lienholder will have to go to court to establish its rights, if any... You will continue to transact business as if it did not exist (because you cannot prove that it does exist) until proven otherwise...
It might be a pain to title insurance companies or the warranters of deeds, but I don't think courts of equity are going to give two craps about who shows up to assert an unrecorded lien after the subterfuge of their predecessors in the chain of assignment and in the fact that they failed to communicate their assignment to anyone prior to the sale of the property... it's got fail written all over it.
That sounds reasonable. (Since I am not an attorney that does not mean much.) I wonder what kind of position the American Land Title Association will take on this? How about this. If you bought or otherwise acquired these liens could you sell them to the home buyers. And if you did could their loans still be foreclosed? If you got a bunch of them could you securitize them and . . . . .Hmmmm.
Generally speaking, no. If a maker/drawer purchases or otherwise acquires his note from the payee (or his assigns), then the obligation to pay the debt is extinguished, generally speaking (you cannot be both your own debtor and creditor at the same time). However, there may be some interjecting rights of third parties that do not get extinguished in the process... so, generally speaking, no, if the debtors purchase their debt, they should not be able to be foreclosed (presumably since no one else would then have that right).
The problem of course is that only the holder can rightfully convey a note and... we have no idea who the holder might be until a court determines such status.
PS, I'd hold up on the whole securitization thing.
looks like courts, after 3+ years, are now starting to look into the issues brought up. TBTF is now TBTI - too big to ignore
I would like to be proved wrong but I think TBTI = To Big To Indict.
I would like to be proved wrong but I think TBTI = To Big To Indict.
Broken chain of title and/or robo signed titles by non bank employees makes the servicer have NO standing to foreclose
So TBTF is not above the law? I'm shocked!
What's the big deal? They're robosigning unconstitutional legislation now...
They are above the law -- but they have to go through the motions for the street-cred TV soap opera to make it look legit.
Nope, they robosigned the pardon.