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2010 October 10 | Activist News
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Daily Archives: October 10, 2010

Foreclosure Fraud Inquiry Planned By Up To 40 States

Associated Press
October 9, 2010

WASHINGTON — The attorneys general of up to 40 states plan to announce soon a joint investigation into banks’ use of flawed foreclosure paperwork.

A person briefed on the investigation said Saturday night that an announcement could come as early as Tuesday. The person spoke on condition of anonymity because the investigation was not yet public.

Iowa Attorney General Tom Miller will lead the investigation. Miller already has been leading multistate reviews of questionable foreclosure documents.

A joint investigation by 40 states would further escalate pressure on banks to widen their suspensions of foreclosures. On Friday, Bank of America became the first bank to halt foreclosures in all 50 states.

JPMorgan Chase & Co., Ally Bank’s GMAC Mortgage unit and PNC Financial have stopped foreclosures in the 23 states where foreclosures must be approved by a judge.
The plans for a joint inquiry were reported earlier by Bloomberg News.

A furor has been growing as evidence has surfaced that mortgage lenders have been using flawed court papers to evict homeowners. That’s led state and federal officials to ramp up pressure on the mortgage industry.

Full Article Here – http://www.huffingtonpost.com/2010/10/10/foreclosure-fraud-inquiry_n_757162.html