Ocwen is a Sham Designed To Be Thrown Under the Bus by Institutional “Investors”

The bottom line is that Ocwen really serves only one primary purpose: to be a front for investment banks that are still taking everyone to the cleaners. It is effectively owned and operated by the investment banks. If the day comes when the lid on securitization gets blown off, Ocwen will be blamed and will most likely go out of business. And there are other “servicers” in that position.

While it is still a reasonable bet that the investment banks will continue to control the political and judicial narrative, there are many signs that “securitization fail” (see Adam Levitin) is being revealed in the courts. As the number of foreclosures decreases, the increased opportunity for judges to truly consider the scheme in front of them is leading to a rise in judgments for homeowners and a revelation that the “REMIC Trust” is a label without meaning or existence in the real world.

Ocwen should be a verb. If you are “ocwened” you have been served a declaration of default on behalf of a named entity that does not exist and even if it did exist does not own your loan. The declaration is a legal nullity as is any modification that is offered or processed, or any foreclosure or “settlement.”

The investment banks “ocwen” you when a robowitness comes into Court and says Ocwen is a servicer and has conducted an extensive and thorough “audit” of the accounts from another servicer. The unreported liabilities of Ocwen probably exceed reported liabilities 100 times or more.

The economic performance of Ocwen is simply the amount of fees it is paid, which is just enough to keep it alive as long as it is useful to keep it alive. An indemnification from either the “REMIC Trust” or Ocwen for a count based on “lost note” is worse than worthless. It is a lie. A living Lie.

see https://mesaweekly.com/2019/10/26/trending-stock-news/ocwen-financial-corporation-ocn-and-its-rivals-financial-results-comparison/

https://forextv.com/top-news/phh-mortgage-expands-correspondent-lending-after-successful-launch/

And from a reader:

“Ocwen Financial and QuisLex US mortgage provider Ocwen and law company QuisLex have developed a process to analyse long and complex contracts, including mortgage-backed securitisations. The analysis uses artificial intelligence to compare hundreds of contracts and reduce the number of contract clauses that need to go before panel law firms. The time taken for such reviews has halved and the companies have saved more than $10m in outside counsel spending.”

Translation:
Streamlining the fraud

18 Responses

  1. The problem with that, Jan, is that the servicers are obligated to indemnify the trustees by contract. so you would have ocwen indemnifying US Bank, ttee. Interesting to see how that one would play out.

  2. Neil, I thank you for your consistently accurate and trenchant analyses of the current bleak environment facing homeowners embroiled in litigation. I also would offer some observations about OCWEN:

    Ocwen was started up by William (bill) Erbey, a scoundrel of the highest order. For a while, he was operating out of an address in the British Virgin Islands, which I traced to a totally nondescript building just off the wharf where the cruise ships pull in. The place was a “front,” of course: Erbey’s real place was up on some hilltop, in a lodge with a 12-foot fence topped by razor wire, all to keep the process servers hired by infuriated homeowners from serving him (and thus hauling his ass into court).

    Eventually the SEC got after Erbey, and ultimately banned him for life from the securities industry. Erbey fled to Valetta, Malta, and there he paid 680,000 Euros to the Government of Malta to obtain instant Maltese citizenship and a passport, which then allows him to travel inside the Schengen Zone without inspection (and apparently without having his passport run through electronic scanners, thus keeping him off the “grid” and away from the prying eyes of the U.S. Marshals). How much cash Erbey looted before the skedaddle to Malta is anybody’s guess; probably a few hundred million, so that 680,000 Euro is chump change. Meanwhile the Ocwen empire keeps chugging along, and as Neil points out, it is kept alive to be the ultimate fall-guy when that becomes their escape hatch. I don’t see anyone catching up with Erbey any time soon; he is a slippery as an eel.

    The solution for aggrieved homeowners is to file suit directly against the investment banks, as themselves, not in the role of so-called trustees of NEIT’s or non-existent, inactive trusts. At least then you have a deep pocket to go chase.

  3. These “trusts” were a “shell” to transfer already classified default debt – before anyone even defaulted. What did our government do? They sacrificed the people to prevent a meltdown.

    NOT ACCEPTABLE.

  4. chrisk210@netzero.com…definitely in.

  5. Shelleystotalbodyworks- Hilarious and effective! Ghost trusts and ghost trustees…. You’ll have to keep us all posted as to what, if any, response you receive. And I have info on the SPS settlement, I’ll dig it up and post it by this time tomorrow.
    Great job sharing information along with ANON, ehrlinda, poppy, and whoever I forgot.

  6. PERSUANT THE Governing Agreements THE PSA FOR GSAA HOME EQUITY TRUST 2006-1 and Long Beach Mortgage Loan 2006-4Trust and all those fake trust out there, MISSSING IN ACTION ARE ONLY VALID ASSIGNMENTS PURSUANT THE
    GOVERNED LAWS: .. Internal Revenue Code §860D(a)(4) must be transferred within three months or 90 days; (4) Trust (ie. REMIC ,as defined in Title 26,Subtitle A Chapter 1, Subchapter M, Part II§§ 850-862)law. Statutes of limitations tolled by active concealment. Pursuant rule 60 (b) (4) motion for lack of subject matter jurisdiction and rule 12 (b)(1). ALSO GSAA HOME EQUITY TRUST 2006-1 GOVERNED BY New York Consolidated Laws
    EPT – Estates, Powers & Trusts
    Article 7 – TRUSTS
    Part 2 – (7-2.1 – 7-2.8) RULES GOVERNING TRUSTEES
    7-2.4 – Act of trustee in contravention of trust; Universal Citation: NY Est Pow & Trusts L § 7-2.4 (2012) ; § 7-2.4 Act of trustee in contravention of trust If the trust is expressed in the instrument creating the estate of the trustee, every sale, conveyance or other act of the trustee in contravention of the trust, except as authorized by this article and by any other provision of law, is void. THIS NON EXISTING TRUST NEVER HELD THE NOTE.

  7. I went online and pulled a picture of a ghost and put it in front of the certified letter from the SEC of Delaware stating LBML 2006-4 Trust is not an existing Trust and never has existed. Then wrote this” A trust has to exist to collect the alleged debt”. Then put the IRC code next with another picture of a ghost with their is no valid assignment of this mortgage to this Trust. as my exhibits. We are battling ghost as Neil states. They know it and these trustee’s have to be held accountable for being part of this scheme. I wrote the Trustee on the letter to me and told him I will personally have him listed on my next adversary suit if he does not stop this sham and fraud immediately knowing the fraud, he is liable. We will see what happens. You never know but naming him personally may make a difference. Then filing a case against them personally may be the way to go.

  8. anon and poppy, my email address bootsaniel1952@yahoo.com

  9. Any dirt on SPS or Quality Loans is appreciated.

  10. Select Portfollio Servicing and Quality Loan Servicing are the same as OCWEN, Fake servicers for fake trust,

  11. Erlinda — I need to contact you ASAP. Poppy can join — please provide your email. Residential Capital – includes GMAC. There is no trustee.

    PHH is a subsidiary – separate entity from Ocwen as legally disclosed. Despite a merger — they are separate entities. .

  12. Poppy, can you give me your contact info about Ocwen and PHH? maybe, we can share something we both know on the scam Ocwen and PHH carried out with the knowledge that PHH is now a whole subsidiarily of Ocwen because of the merger last year? My debt has been cancelled since 2013 through IRS 1098 Mortgage Interest, it was disclosed, but still Ocwen insist that I still owed the trustee’s debt that has been cancelled and disharged through the bankruptcy of Residential Capital, LLC in New York in 2012. thanks

  13. Poppy — no one can verify “master servicing rights” to anything. Ocwen only transferred “Sub-servicing” rights that cannot be verified – for any LEGAL ENTITY in compliance with ANYTHING.

  14. I was in Federal Court in 2018, when the lawyer for Ocwen said: Ocwen transferred servicing rights to PHH…on closer examination, Ocwen “transferred” assets (mine allegedly), to PHH and NewRez is the servicer. The point: the lawyer lied, under oath in Federal Court about PHH and their role, making Ocwen the investor and owner of the debt…which they have never acquired a right to collect. Lying under oath is perjury, last I checked. No consequence and I have the paperwork. Once again, does anyone think the judge is honest? I say, a resounding, NO

  15. Ocwen was only a sub-servicer beginning in 2017, when claimed “master servicing rights” were sold to New Residential. PHH now claims to be sub-servicer for New Residential.

    Ocwen has passed on its illegal business practice. Neil is correct — Ocwen is dying and anything from them is worthless.

    All a lie.

  16. Ocwen are thieves…in the light of day, they steal and no one cares. I have been dealing with them for eleven (11) years. Not one thing presented to any court has merit. Anyone needing serious info on them, ask and I will gleefully share what I have.

  17. Ah, OCWEN…In April of 2013, you wrote letters to the Florida Department of Financial Regulation and the CFPB stating ‘No Fraud Found’ in response to my complaints about ‘Funny Stuff’ in the Escrow…and then we have the OCWEN/CFPB ‘Consent Order’ of 2013…and you persisted…and then the Lee Settlement…and you persisted…when it got ‘too hot’…you ‘sold me on’ to a New Debt Collector…(and forgot to mention the non-existent Fraud that you did not find but sent me a check for in 2017)…and they persisted…and then ‘sold me on’ again…and the Next Debt Collector continues to persist…You sit on a Throne of Lies, OCWEN…

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