Daily Archives: October 17, 2014

Woman Says Bank Foreclosure Killed Her Mom

FRESNO, Calif. (CN) – A woman died after Wells Fargo locked her out of her home in foreclosure proceedings, leaving her unable to plug in the oxygen concentrator she needed to live, her daughter claims in court.
Brooke Noble sued Wells Fargo Bank on Thursday in Superior Court, for negligence and the wrongful death of her mother, Marsha Kilgore.
She claims that in its foreclosure proceedings, Wells Fargo violated state orders and locked her mother out of her home. Her mom died on Oct. 16, 2013, “from inability to breathe,” according to the lawsuit.
The bank knew that her mother was dependent on an oxygen concentrator that needs to be plugged into the wall, Noble says.

Read on.

Arrest warrant issued for former foreclosure king Brunner

An arrest warrant was issued Friday for one-time foreclosure king Todd Brunner and his son, Shawn Brunner, after a federal prosecutor argued that the pair were avoiding service of a summons to face federal fraud charges.

The Pewaukee men were indicted Oct. 7 on charges of bank fraud and bankruptcy fraud. Authorities say Todd Brunner hid more than $7 million from creditors and misled a bankruptcy court. Shawn Brunner was charged with assisting his father in hiding assets.

Typically, in white collar cases defendants are simply issued a summons to appear at an arraignment. Then, a federal magistrate frequently allows the defendants to be released on a personal recognizance bond.

Since Todd Brunner, 57, and Shawn Brunner, 24, did not show up for their Friday morning arraignment, U.S. Magistrate Judge Nancy Joseph issued an arrest warrant, which will allow the U.S. Marshals to enter properties where they think the Brunner are located and arrest them.

Read on.

Obama signs executive order to tighten security for federal credit cards

U.S. President Barack Obama signed an executive order on Friday to beef up security measures for federal credit cards, and urged banks and retailers to follow suit in an effort to combat the growing threat of identity fraud.

The order, which Obama signed before a lively, packed crowd of regulators at the Consumer Financial Protection Bureau, will add microchips and PIN numbers to government credit cards and debit cards starting in January.

The president also announced that several major companies will take steps to make their own systems more secure and offer more customer protections.

“The idea that somebody halfway around the world could run up thousands of dollars in charges in your name just because they stole your number, or because you swiped your card at the wrong place in the wrong time, that’s infuriating,” he said.

Obama’s executive order comes after many large companies including Target (>> Target Corporation), JPMorgan (>> JPMorgan Chase & Co.) and Home Depot (>> The Home Depot, Inc.) have suffered high-profile cyber security breaches.

Read on.

N.Y.’s Lawsky Considering Strict Cybersecurity Regime for Banks

Banks chartered in New York could soon be required to appoint chief information security officers and submit to quarterly tests of their systems’ vulnerabilities under a cybersecurity regime being considered by state regulator Benjamin Lawsky.

Those strict requirements appear in the Department of Financial Services’ sweeping, controversialproposal for regulating virtual currency businesses. Lawsky said this week he is thinking of using the cybersecurity provisions of the so-called BitLicense framework as a model for banks and insurance companies on his watch. Those rules would be far more stringent than any existing data-security regulations for financial institutions.

Read on.

U.S. to Boost Security for Government-Issued Debit Cards

WASHINGTON–President Barack Obama will announce on Friday that the federal government will boost security for government-issued debit cards, according to people familiar with the matter, amid increased concern about the security of Americans’ financial data.

The government will start distributing federal benefits, such as Social Security payments, via debit cards that contain an internal chip that makes them less vulnerable to fraud, Mr. Obama is expected to say.

The White House late on Thursday said Mr. Obama on Friday “will deliver remarks on steps the administration is taking to safeguard American consumers’ financial security.” It didn’t elaborate.

The Obama administration is expected to issue an executive order mandating a push to more-secure card technology for federal benefit cards as a way to respond to several high-profile data breaches at retailers and financial institutions, according to industry groups briefed on the plans.

Read on.


From the opinion…

It is well-settled that:

A plaintiff who is not the original lender may establish standing to foreclose a mortgage loan by submitting a note with a blank or special endorsement, an assignment of the note, or an affidavit otherwise proving the plaintiff’s status as the holder of the note.McLean v. JP Morgan Chase Bank Nat’l Ass’n, 79 So. 3d 170, 173 (Fla. 4th DCA 2012).

But standing must be established as of the time of filing the foreclosure complaint.



Exclusive: Wells Fargo to shut its ‘dark pool’ as demand falls

Yeah right…

Wells Fargo is closing down its alternative trading system, or “dark pool,” due to decreased customer demand, the company said on Thursday.

The San Francisco-based bank will still offer its clients a full suite of electronic trading tools to help them execute orders, but will stop offering access to the company’s dark pool on Friday, a spokeswoman from the bank told Reuters.

“Our products are customized to fit client trading objectives and the products we offer are aligned with client demand. Effective October 17, our product suite no longer includes the Wells Fargo Liquidity Crosser,” the bank said in a statement.