Category Archives: Uncategorized

Suit: Wells Fargo targeted ‘undocumented immigrants’ for accounts

Wow, it gets worse and worse for Wells Fargo…

Wells Fargo branches across the country deliberately targeted “undocumented immigrants” to open savings and checking accounts in order to meet aggressive sales goals, according to court documents.

In sworn declarations obtained by Burlingame plaintiff’s attorney Joseph Cotchett, former employees describe a scheme in which Spanish-speaking colleagues would visit places they knew were frequented by immigrants (including construction sites and a 7-Eleven), drive them to a branch and persuade them to open an account. Some employees would give the immigrants $10 apiece to start an account. The events described in the declaration go back a decade.

“The conduct we have come up with is scandalous,” Cotchett said. “It’s outrageous to think that regulators let the bank get away with this.”

Read on.

Single-Payer Health Care Bill Advances in California

SACRAMENTO, Calif. (CN) – Introduced as a hedge against President Donald Trump’s promise to gut former President Barack Obama’s landmark health care law, a California bill establishing universal state-run health care was approved by a state Senate committee Wednesday.

After more than two hours of debate, the Senate Health Committee cleared the Golden State’s latest attempt at adopting universal health care despite key concerns as to how the system will be paid for.

State Sen. Ricardo Lara, D-Bell Gardens, told the Senate Health Committee that Senate Bill 562is the best way to extend health care coverage to almost 3 million uninsured residents and that the state must act with urgency.

“With President Trump’s promise to abandon the Affordable Care Act and leave millions without access to care, California is once again called to lead,” Lara said.

The transformative legislation would create a single-payer health care system, provide health insurance to all California residents regardless of immigration status and allow state regulators to negotiate drug costs with the pharmaceutical industry. If it passes – in the face of opposition from powerful business and health insurance groups – the proposal as drafted would take effect January 2018.

Read on.

Ocwen pulls a PHH: Asks court to declare CFPB unconstitutional, requests DOJ help

Ocwen Financial is pulling a PHH.

Just as PHH did recently, Ocwen is playing the unconstitutional card in its fight against the Consumer Financial Protection Bureau, asking the United States District Court for the Southern District of Florida to declare the CFPB unconstitutional and toss out the CFPB’s lawsuit against the company.

Read on.

Credit rating agencies ding Ocwen over CFPB, state regulator charges

In the wake of the Consumer Financial Protection Bureau and a growing group of state regulators accusing Ocwen Financial of widespread mortgage servicing issues, several of the big credit ratings agencies announced that each is taking some form of negative action on the nonbank.

Over the last few days, S&P Global Ratings, Moody’s Investors Service, Fitch Ratings, and Morningstar each released updated views of Ocwen, with each agency’s analysts stating that Ocwen’s recent regulatory troubles could have dire long-term consequences.

Read on.

U.S. Bank fined $15 million for bankruptcy filing violations

The Office of the Comptroller of the Currency announced Tuesday that it is ordering U.S. Bank National Association to pay a civil penalty of $15 million for what it calls “bankruptcy filing violations” that occurred between 2009 and 2014.

According to the OCC, an investigation found that between 2009 and 2014, U.S. Bank “engaged in filing practices in bankruptcy courts with respect to proofs of claim, payment change notices, and post-petition fees among others that did not comply with bankruptcy rules and constituted unsafe or unsound banking practices.”

More specifically, text from the OCC’s consent order states:

Between 2009 and 2014, the Bank committed various errors related to bankruptcy filings, including: (a) untimely, not filed, or inaccurately filed Proofs of Claim; (b) payment application inaccuracies resulting in overpayments by debtors or trustees; (c) untimely and/or inaccurate Payment Change Notices; (d) untimely, and/or inaccurate Post-Petition Mortgage Fees, Expenses, and Charges; (e) inaccurate Notices of Final Cure; (f) exposure of confidential customer information in court-filed documents; and (g) inconsistent application of the Bank’s fee waiver practices.

Read on.

DNC / Debbie Wasserman Schultz Class Action Lawsuit – Attorney Jared H. Beck goes over details after court hearing

From DNC Fraud lawsuit from Facebook:

– Attorney Jared H. Beck goes over details after court hearing on Tuesday. And more on the hearing for the Plaintiffs:

The Court held a 3.5 hour hearing today on Defendants’ Motion to Dismiss, and asked pointed questions of both sides.

Judge Zloch did not rule from the bench today and will be issuing a written order.

Maryland also banned Ocwen from operating in the state.

Housingwire:

Maryland’s action, taken by the state’s Commissioner of Financial Regulation, is, in the words of a HousingWire tipster, a “doozy.”

Maryland’s cease-and-desist order, which can be read in full here, presents a laundry list of Ocwen’s supposed failings, including the company’s “failure to cooperate” with examiners from the Multi-State Mortgage Committee, Ocwen’s alleged unlicensed servicing activity in Maryland, issues with the REALServicing platform that Ocwen uses (issues with REALServicing were also cited by the Consumer Financial Protection Bureau, which took its own action against Ocwen last week), various states’ enforcement actions against Ocwen, and a cavalcade of other issues.

Because of these issues, Maryland partially “summarily suspended” the mortgage lender licenses of Ocwen Mortgage Servicing, Ocwen Loan Servicing, Ocwen Financial Solutions Private Limited, Ocwen Business Solutions, Homeward Residential, Liberty Home Equity Solutions.

Under those suspensions, Ocwen and its related companies are prohibited from acquiring new mortgage servicing rights for Maryland mortgages. The companies must also suspend “any and all” new agreements to subservice Maryland mortgages and is also ordered to not retain the servicing for any newly originated Maryland mortgages.

One of the most significant stipulations of the Maryland action is that Ocwen is ordered to “immediately begin the process of migrating loans off the REALServicing platform,” and is required to provide a report to the Maryland Commissioner of Financial Regulation on its progress on a monthly basis.

Ocwen and the related companies are also ordered to suspend “any and all” stock repurchases “during the course of this administrative action.”

Ocwen is also required to provide a written plan to the Maryland Commissioner of Financial Regulation that demonstrates how the company will remain a “going concern” for one year.

Ocwen is also orders to develop new payment plans for its executives that “better align with performance.”

Ocwen is also ordered to prepare a wind-down plan that illustrates what will happen if the company is no longer able to operate moving forward. According to Maryland’s order, that plan is required to provide details on the “orderly transfer” of all Maryland servicing rights should Ocwen fail.