Foreclosure Fraud Is Supposed to Be a Thing of the Past, But It Happens Every Day


old-mortgage-deed-7611736.jpgBy David Dayen

Every day in America, people continue to be kicked out of their homes based on false documents. The settlements over allegations of robosigning, faulty paperwork, and illegal mortgage servicing didn’t end the misconduct. And law enforcement, along with most judges and politicians, have looked away in the mistaken belief that they wrapped up a scandal that just goes on and on.

My new book, Chain of Title: How Three Ordinary Americans Uncovered Wall Street’s Great Foreclosure Fraud, is about three foreclosure victims who ended up doing more investigation of the corrupt U.S. mortgage industry than any state or federal law enforcement or regulatory official.

They exposed the mass production of false mortgage documents in courthouses and county records offices across the country.

It’s a work of history, depicting events that occurred from 2009 to 2012. But it’s a living history, and that’s one of the reasons I wrote the book.

Here at The Intercept, in the past 10 months, I’ve written about the New Jersey man who had precious family heirlooms robbed by Wells Fargo subcontractors when they illegally “trashed out” his foreclosed home. I’ve written about the use of false documents in Seattle and the unregistered business trusts operating in Montana. I’ve written about the Texas jury that awarded $5 million in one wrongful foreclosure case with fabricated and robosigned documents. I’ve written about the California Supreme Court enabling foreclosure victims to challenge phony documents in their cases.

That’s just a small sampling of what I hear nearly every day from homeowners who continue to challenge their cases and reveal massive fraud. And these are a few more:

  • Here’s a document dated August 4, 2010. It’s an assignment of a deed of trust from the originator, American Brokers Conduit, to Wells Fargo. It was not only digitally signed, but it was digitally notarized. So the computer appeared personally before the other computer, I guess, to verify that this was the authentic computer that signed the document.

Continue at the Intercept…..

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7 Responses

  1. I could not agree more with your comment. Thanks for checking out my blog.

  2. It takes people to make a strong nation – not just banks. This is what law makers and law enforcement people may need to understand.

  3. Reblogged this on California Freelance Paralegal.

  4. Why can’t the judges across the nation realize this when all of us know this as a matter of fact? If the judges start giving favorable judgments to home owners this would solve the acute housing problem in America.

    Judges may know that the banks seldom try to play with them while they have the job as judges, but what would these bank do to the judges when they retire? This should be the attitude while making judgments.

  5. only the banks ROCK anything goes

  6. Reblogged this on Deadly Clear and commented:
    You can’t repeat these words enough!

  7. Not only are the banks using digital signatures on assignments I have production of documents supplied by the servicer with a blank notarized assignment of D.T.. Whoops! Fill in the gaps..

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