Gov't Fines New York Law Firm $2M for Improper Foreclosures

[bobbyw24]

One of New York’s largest-volume foreclosure law firms has signed on to an agreement with the U.S. Department of Justice, requiring the firm to pay $2 million and change its foreclosure practices – a case that market observers say could set a national precedent.

The law firm of Steven J. Baum, P.C. has been the subject of a six-month investigation into whether the firm, on behalf of its lender clients, filed misleading pleadings, affidavits, and mortgage assignments related to foreclosure actions in New York state and federal courts.


Last Thursday, the firm’s principal, Steven J. Baum, entered into a settlement agreement to end the probe and resolve allegations brought forth by the U.S. attorney for the Southern District of New York.

In addition to the $2 million fine, the firm has agreed to “extensively change” its mortgage foreclosure practices, according to court documents.

The settlement specifically prohibits the Baum law firm from engaging in certain practices related to the Mortgage Electronic Registration Systems, Inc. (MERS).

http://www.dsnews.com/articles/us-fi...res-2011-10-10

[bobbyw24]

Down here we have:

$2 Million Payout Settles Marshall C. Watson Fraud Case

By Ariana Eunjung Cha, Published: March 25, 2011

A Florida law firm agreed Friday to pay the state $2 million in penalties for allegedly mishandling foreclosures — the first deal of its kind since the uproar over the issue began last fall.

The Law Offices of Marshall C. Watson was among the prominent law firms investigated by state authorities after major lenders, including Bank of America and J.P. Morgan Chase, admitted last fall that their employees had “robo-signed” foreclosure cases without reading them and improperly notarized some documents.

 During the housing boom, millions of homeowners got easy access to mortgages. Now, some mortgage lenders and government officials have taken action after discovering that many mortgage documents were mishandled.

Investigations into these practices are being conducted on several parallel tracks. Besides investigations by various states, federal regulators are conducting a review of national banks. Attorneys general from 50 states have joined with the Obama administration to try to negotiate a broader settlement with the mortgage industry.

Many of the parties involved disagree about the deal’s provisions, including the size of the cash penalty the banks should pay.

http://www.washingtonpost.com/busine...WYB_story.html

[DamianTV]

Chump change for those guys, maybe they'd have better luck if they asked them if they wanted fries with their new McJob? Oh, wait, theres no McJobs? Well, these guys definitely need to lose their licenses and their jobs, just to see how they like the quagmire they've left us with.

[bobbyw24]

Chump change for those guys, maybe they'd have better luck if they asked them if they wanted fries with their new McJob? Oh, wait, theres no McJobs? Well, these guys definitely need to lose their licenses and their jobs, just to see how they like the quagmire they've left us with.

You are right.

Commit fraud in our court system? No worries-you can buy a Mulligan