bobbyw24
11-17-2011, 03:15 PM
In the first criminal case involving robo-signing of mortgage documents, Nevada's attorney General Catherine Cortez Masto filed charges Wednesday against two Lender Processing Services employees accused of filing tens of thousands of false documents.
The grand jury indictment filed with the Clark County Recorder's office accuses California residents Gary Trafford and Gerri Sheppard of overseeing teams of so-called "robo-signers" — people who allegedly churned out improper notices of default to initiate foreclosure proceedings. The defendants allegedly allowed their signatures to be forged and submitted to the county recorder.
In a statement on Thursday morning, Lender Processing Services conceded that some of its past document signing practices "were flawed," but said that it believed the resulting filings were legitimate and that no wrongful foreclosures had occurred.
More indictments are likely to be filed, according to John Kelleher, Nevada's chief deputy attorney general.
"Robo-signing is obviously going on en masse in Nevada," Kelleher said. "Most of the major banks seem to be clients" of the defendants' company.
The AG's office has not made allegations against banks themselves, he said. "We simply don't know if the major banks were aware of what these individuals were doing," according to Kelleher.
http://www.americanbanker.com/issues/176_223/nevada-robo-signing-1044154-1.html
The grand jury indictment filed with the Clark County Recorder's office accuses California residents Gary Trafford and Gerri Sheppard of overseeing teams of so-called "robo-signers" — people who allegedly churned out improper notices of default to initiate foreclosure proceedings. The defendants allegedly allowed their signatures to be forged and submitted to the county recorder.
In a statement on Thursday morning, Lender Processing Services conceded that some of its past document signing practices "were flawed," but said that it believed the resulting filings were legitimate and that no wrongful foreclosures had occurred.
More indictments are likely to be filed, according to John Kelleher, Nevada's chief deputy attorney general.
"Robo-signing is obviously going on en masse in Nevada," Kelleher said. "Most of the major banks seem to be clients" of the defendants' company.
The AG's office has not made allegations against banks themselves, he said. "We simply don't know if the major banks were aware of what these individuals were doing," according to Kelleher.
http://www.americanbanker.com/issues/176_223/nevada-robo-signing-1044154-1.html