Mortgage Gate Just Got Weirder: Counterfeit Court Summons

Tyler Durden's picture

With each passing day, the revalations in mortgage-gate, which has for now implicated GMAC and JPMorgan in foreclosing on mortgages without titles, and will likely soon proceed through the entire mortgage origination industry like wildfire as more and more of those foreclosed upon begin to challenge the process (we wonder just what the statute on limitations for retroactive challenges is), are getting increasingly more bizarre. Today, courtesy of Alan Grayson's office we discover that not only are servicers foreclosing on mortgages to which nobody apparently owns the title, but that servicers, representing such reputable firms as Deutsche Bank National Trust Company, are willing to counterfeit court summons in their pursuit of a clean and efficient foreclosure mill. As Grayson's office points out: "Apparently what’s happening is that private process servicer companies may not be serving people with summons, and are simply counterfeiting the documents so they can keep the fees without doing the work.  That means that you could theoretically be foreclosed on without ever knowing there was even a foreclosure case against you." What it also means, is that banks may have been participants in this outright criminal judicial fraud, which we are confident will be uncovered in many more cases, as this is highly unlikely to be an isolated case. And the ultimate outcome, as the Florida Bar News states, is that soon, the entire foreclosure process will halt, thereby creating a huge bottleneck to cleaning out excess inventory as more and more squatters are allowed to reside in properties that no longer pay their mortgages to anyone, now that it is obvious that nobody (ahem Freddie, but how else can you keep bailing out the banks, pardon, the GSEs, via fraudulent fund flows) owns the actual deed. “If we had everyone defending their foreclosure, we’d never get through this.”


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DoChenRollingBearing's picture

Realtor friend of mine told me an interesting tale.  Seems a homeowner got a foreclosure notice.  Problem was, the owner had paid cash and owed nothing!  Someone had forged documents trying to steal they guy's house.

If that is true, expect lots more fireworks!

PicassoInActions's picture

"If that is true, expect lots more fireworks!" Fireworks of mass distructions.

Isn't what we were looking for in Iraq?

scaleindependent's picture


The REAL WMD were here.

Mission Accomplished biatchez!

jmc8888's picture

Could you imagine if this happened to someone in a militia?

dkny's picture

Hold on a second, but isn't this a case where the title insurance company screwed up?

I'll be the first to admit I'm not an expert on this stuff, but isn't it possible that the sale went through, but the mortgage lien remained, hence a foreclosure still possible?'s picture

title fraud, happened to my friend.

Slash's picture

I think someone had something to say about this....oh yes!


"I believe that banking institutions are more dangerous to our liberties than standing armies . . . If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] . . . will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered . . . The issuing power should be taken from the banks and restored to the people, to whom it properly belongs." -- Thomas Jefferson -- The Debate Over The Recharter Of The Bank Bill, (1809)



looks like we're full steam ahead into the property deprivation part.

ZackLo's picture

Yup, we are to the point that the banks own everything (almost) and every corporation depends on the near zero interest rate on margin just to run..It's crazy that over the last 300 years all the hardcore issues have been the same and people say "oh how can the constitution solve all the complex problems of today" There seems to be one problem to solve all problems....the central different 300 years ago then now..

Slash's picture

exactly. dumbshit's say "oh but the constitution is so old, the world is so different today and the problems are new and unpredictable". Bullshit. Jefferson, among others, predicted the problems to almost exact certainty. Central banking is the same now as it was back then, we just have fancier names and glittery "innovative" financial poducts and arragenments. Just a few extra layers of bullshit piled on top of the base layer of fraud.


reminds me of a song....


Big man, pig man, ha ha charade you are.
You well heeled big wheel, ha ha charade you are.
And when your hand is on your heart,
You're nearly a good laugh,
Almost a joker,
With your head down in the pig bin,
Saying "Keep on digging."
Pig stain on your fat chin.
What do you hope to find.
When you're down in the pig mine.
You're nearly a laugh,
You're nearly a laugh
But you're really a cry.

RichardP's picture

The constitution was drafted to address human nature.  Human nature never changes.  Since we have agreed to live together, how then shall we live?

Tarheel's picture

how is it possible for a firm to not be able to locate a deed they should have? Come on, a deed is one of the most expensive pieces of paper around (i.e. several hundred thousand in my neighborhood). They should be safeguarding those deeds more than anything in the firm!

reading's picture

Just imagine what they're doing with your personal info if they can't even keep track of their only record of ownership on their collateral.

Kali's picture

"personal info" is now an oxymoron.  Hey, isn't this supposed to be the age of information?  No shit.  "can't even keep track of their only record of ownership".'s picture

deed fraud, happened to someone i know.

Alexandre Stavisky's picture

"Little pig, little pig let me come in!"

Not by the restraining order yesterday served, neither unless your proper legal service can be established.  Nor still unless your documentation is in perfect order, title is without defect, all notices of default and foreclosure were conducted without error, and you can prove that predatory lending practices or fraudulent inducement were absent in all steps of application, acceptance, distribution, securitization and tranching.  No MERS, photocopying, substitutions are allowed.  Also get in line, the courts are backlogged 24 months on light volume. 

By the way, I also peed on your shoe through the mail slot.

Have a nice day, I'm back to bed.

Breakdown in the mortgage mill, can't grind with only one millstone--having the other about your neck as an ornament to your recklessness makes poor porridge.

Pegasus Muse's picture

Public hangings.  When do they start?  My sensing of the prevailing mood is J6P is about ready to administer the kind of swift justice a complicit corrupt judicial system will not.

scaleindependent's picture

What other congressman is doing this, be it Democrat, Republican, Tea Partier, or Libertarian and yet how much hell does Grayson get around here?



themosmitsos's picture

Tyler, I'll you this. I know they do this shit. But proving it is another matter. If proven however, judges will react VERY BADLY to this precedent existing, and may refuse to allow litigation to continue on any mortgage nationwide. The reason is, this is a direct offense against the Courts' credibility and authority, and thus their very jurisdiction.


Cognitive Dissonance's picture

While I appreciate your point, I'm fairly certain that some whore judges won't mind becoming bigger whores. It's just a matter of price. Or desperation.

hedgeless_horseman's picture

Whore judges?  Are there any other kind?

No system is more corrupt than the legal system.

Judges are lawyers.  It is a conflict of interest.

LeBalance's picture

Judges are attorneys.  It is an important distinction.

Attorneys are officers of the Court and have a dual allegence (1) to the Court and (2) to their client.  In all cases if there is a conflict of interest (1) wins.

Who owns the Courts?

The banks, of course.

Cognitive Dissonance's picture

Attorneys are officers of the Court and have a dual allegence....

Serving two masters never works out. So there's plenty of wiggle room in the middle to line the pockets and take care of well paying friends and family. 

I was thinking today that government corruption on this scale is a relatively new concept for the American people to absorb into their very bones. I'm not talking about politicians taking some bribes, I'm talking about wholesale and systemic fraud and corruption in the economic and social systems.

Most Americans still haven't come to grips with the fact that they live within The United Banana Republic States of America.

MsCreant's picture

We keep waiting for the one that will be it, don't we? I know I do. But this is an interesting point you are making. Counterfeit court documents WILL blow some folk's minds. If those docs are counterfeit, WHAT ELSE IS COUNTERFEIT? Is there any legitimate law or authority? I do hope this is our black swan coming home to roost.

Miss Expectations's picture

There are enough black swans to darken the sky.  I, too hope this one brings us to the tipping point in terms of public awareness and outrage.

I have a neighbor who actually breeds swans.  Last summer a very interested wild swan came around and wanted get into fenced area with the other swans.  He waited and waited....hung out for months and months.  I used to see him swimming in the creek.  He finally gave up and flew off alone. 




Kali's picture

That is so sad.  The true swan is alone.  The captives have company.  That is so,so sad.'s picture

i got a court date in a county that ain't too happy about hundreds and hundreds of foreclsoures. plus, the gas and oil companies pulling out really impacted this county. judge ain't happy, nope not one bit.

Rotwang's picture

The United Obanana Republic States of Amerika

Big Red's picture

I'm sure you were posting "The United Bushleague Republic States of Amerika", also, right?


Screw off, you're still half the problem

Uncle Remus's picture

When life gives you a Banana Republic, you make banana bread.

MsCreant's picture

And an Obama Republic, Obama Bread? That is instead of Bernanke Bucks.

WaterWings's picture

Obama Bread(TM) will soon be hitting shelves everywhere.

SNAP approved.

Charlton Heston yelling something about people.

RichardP's picture

Obama Bread = Fiat money??

anonnn's picture

Unclear. Attorneys are anyone appointed to legally represent [recall: power of attorney designations]. They may or may not also be lawyers [licensed to practice law; or even have lawyer training].

The matter of appointed  v. elected judges being lawyers is another matter.

hack3434's picture

Exactly! The legal system is a complete joke and any scumbag lawyer with skills knows how to exploit it. 

JLee2027's picture

Having been subject to the whims and whammies of the civil legal system for years I both agree and disagree. I do think the legal system will be credible on mortgage cases...because they will fear the result and the wrath if they aren't. 

Calculated_Risk's picture

Exactly. Check out how the probate judges and attorneys are stealing from

the young and old in Arizona...


Misstrial's picture

Wow...lots of interesting articles linked. Thanks!


MachoMan's picture

CD, most of the judges that would be handling these cases are state judges in courts of general jurisdiction...  needless to say, these are not the guys that are conceivably in the back pockets of the PTB.  Further, there is probably an inherent bias against the large banks in most jurisdictions... you can send these bitches to a jury trial...

The more publicity these cases get, the more enterprising lawyers will be drawn to the pot of gold, and the more homeowners will be helped...

Cognitive Dissonance's picture

I didn't say all, just some. And not necessarily at this level. You know any judgement will get kicked upstairs. That's where the high class whores live, in the Red Light District of Columbia.

DaveyJones's picture

Red Light District of Columbia, I love it. And your right, titlegate is too big to be solved "legally." tweaking hugh henry, it title is a legal process, hypertitle is a political process... 

Pool Shark's picture



I'm in court everyday, and I can tell you that most of the state court judges I practice before are just as mad at the banks as many of you.

However, the court may not know there's fraud in a given case unless a party calls it to the court's attention.  Also, the court will not assist a party who does not defend its rights. Unfortunately, banks can afford 'good' attorneys while a defendant/homeowner in a foreclosure action is usually on their own, or at best, able to afford an over-worked or under-skilled counsel.


On the other hand, when this kind of fraud is discovered and proved, the consequnces for the offending party are sever -- In California, it's a felony punishable by up to three years in state prison, and cannot be reduced to a misdemeanor (see California Penal Code section 132).  

DaveyJones's picture

I've been in court everyday for twenty years now too and you're right, the local judges, like the rest of us are pissed. But CD has a point about the red light district. Not long ago, it was revealed that AT&T systematically assisted in violating the fourth amendment rights of just about everyone who sent an electronic communication. Many of us were outraged and started to sue but they were ultimately given immunity. Why, they were working in collusion with the federal government to push an agenda, an agenda that was for the most part hidden. Isn't this exactly what the big banks and government are doing now? This will be solved politically, not legally, not constitutionally. Ps. I hope your right, I hope I'm wrong

Greenweather's picture

Amen.  We just had our Court of Appeals slap down a non-judicial deed of trust foreclosure for what amounted to a comedy of errors.  But you could really feel their anger with the process because the lone bidder got a piece of property for roughly a 75% discount from FMV.  Of course, the suit would have never seen the light of day if the dispute had been just between the lender, the trustee and borrower because it was rife with mandatory arbitration clauses.  The only way they got it into court was through a quiet title action between the borrower and the lone bidder.


JohnKing's picture

The Florida Supreme Court just green-lighted fraud and misconduct.

Plunder the people!

The court's response, issued Tuesday, said the Florida Constitution and court rules did not give the chief justice authority to intercede in pending cases involving attorney misconduct, or to investigate allegations of fraud or misconduct in foreclosure cases. The fraud cases must first be adjudicated in trial courts, according to the response.

Pool Shark's picture

Separation of powers...

Courts don't investigate and prosecute crimes; that's for the executive branch (police and district attorneys).

Don't worry though; the wave of prosecutions is about to begin...

Commander Cody's picture

Our laws have evolved only to protect corporate fraud.  Fascism anyone?