Tag Archives: California AG Kamala Harris

SEARCH WARRANT: CRIMINAL PROBE LAUNCHED BY CA AG AGAINST WELLS FARGO ON ALLEGATIONS OF ID THEFT OVER BOGUS ACCOUNTS

LA Times:

The search war­rant and re­lated doc­u­ments, served Oct. 5 and ob­tained by The Times through a pub­lic re­cords re­quest, con­firm that Cali­for­nia Atty. Gen. Kamala Har­ris, in the fi­nal weeks of a run for U.S. Sen­ate, has joined the grow­ing list of pub­lic of­fi­cials and agen­cies in­vest­ig­at­ing the bank in con­nec­tion with the ac­counts scan­dal.

Document: Statement of probable cause for Wells Fargo search warrant. From 4closurefraud.org:

California AG backs expansion of Homeowners’ Bill of Rights

California Attorney General Kamala Harris is throwing her support behind a bill that expand the state’s Homeowners’ Bill of Rights to include a provision designed to help widowed spouses and children stay in their homes after the primary mortgage holder passes away.

The bill, called the Homeowner Survivor Bill of Rights, would expand on the California Homeowners’ Bill of Rights, which was enacted in 2012 and provides a series of protections for homeowners against foreclosures.

The Homeowner Survivor Bill of Rights closes a loophole in California law that fails to provide surviving spouses and children important protections against foreclosure that are available to other homeowners, according to the offices of California State Senators Mark Leno and Cathleen Galgiani, who authored the bill.

According Harris’ office, the proposed legislation would allow survivors or heirs to simultaneously apply for both loan assumption and loan modification and provide a single point of contact with the lender.

Read on.

California AG Files Suit Against Morgan Stanley Over False Claims and Securities Violations

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PDF icon People of the State of CA v. Morgan Stanley.pdf 33.23 MB

SAN FRANCISCO – Attorney General Kamala D. Harris today filed a lawsuit against investment bank Morgan Stanley for misrepresentations about complex investments such as residential mortgage-backed securities, in which large pools of home loans were packaged together and sold to investors.  These misrepresentations contributed to the global financial crisis and to major losses by investors including California’s public pension funds, which are responsible for the retirement security of California peace officers, firefighters, teachers, and other public employees.

The complaint, filed in San Francisco Superior Court, alleges that Morgan Stanley violated the False Claims Act, the California Securities Law and other state laws by concealing or understating the risks of intricate investments involving large numbers of underlying loans or other assets. In addition to residential mortgage-backed securities, the complaint also focuses on “structured investment vehicle” investments, which involved not just packages of residential mortgage loans but also other types of debt of individuals and corporations.

“Morgan Stanley’s conduct in this case evidenced a culture of greed and deception that helped create a devastating economic crisis and crippled California’s budget,” said Attorney General Harris. “This lawsuit is necessary in order to hold Morgan Stanley accountable for the destruction it caused to California, our people, and our pension funds.”

Read on.

Link

UCI professor overseeing the national mortgage settlement in California urges changes to lessen families’ risk of losing homes

UCI professor overseeing the national mortgage settlement in California urges changes to lessen families’ risk of losing homes

Despite recent state and national laws meant to protect consumers, flaws persist in the foreclosure process that are putting borrowers at risk of losing their homes, said the UC Irvine law professor who’s overseeing the California portion of a nationwide settlement with big banks.

A report issued this week by professor Katherine Porter proposes several changes in the way banks deal with homeowners in default on loans. Porter was appointed as monitor by California Attorney General Kamala Harris.

Link

Californians put AG Kamala Harris on the defense, demanding to know why no prosecutions against banks were being taken

Californians put AG Kamala Harris on the defense, demanding to know why no prosecutions against banks were being taken

It seems like no matter what California Attorney General Kamala Harris does, she can’t get everyone on the same page — to be bold, the same chapter.

Homeowner advocacy groups California, Occupy Fights Foreclosure sent a pretty aggressive open letter to Harris demanding to know why no prosecutions against banks were being taken, since — according to the local homeowners — the financial institutions are at the helm of creating the crisis of mortgage fraud.

“We do not understand why the crimes behind the tanking of our entire state’s economy, the consequences of which have devastated entire neighborhoods and created extreme hardship for millions of Californians, are not important enough to prosecute and bring to trial,” the letter demanded. 

Attorney General Kamala D. Harris Announces Suit Against JPMorgan Chase for Fraudulent and Unlawful Debt-Collection Practices

LOS ANGELES — Attorney General Kamala D. Harris today filed an enforcement action against JPMorgan Chase & Co. (Chase) alleging that the bank engaged in fraudulent and unlawful debt-collection practices against tens of thousands of Californians.

The suit alleges that Chase engaged in widespread, illegal robo-signing, among other unlawful practices, to commit debt-collection abuses against approximately 100,000 California credit card borrowers over at least a three-year period.

“Chase abused the judicial process and engaged in serious misconduct against California credit card borrowers,” Attorney General Harris said. “This enforcement action seeks to hold Chase accountable for systematically using illegal tactics to flood California’s courts with specious lawsuits against consumers. My office will demand a permanent halt to these practices and redress for borrowers who have been harmed.”

From January 2008 through April 2011, Chase filed thousands of debt collection lawsuits every month in the State of California. On one day alone, Chase filed 469 such lawsuits in California. The Attorney General’s complaint against Chase alleges that, to maintain this pace, Chase employed unlawful practices as shortcuts to obtain judgments against California consumers with speed and ease that could not have been possible if Chase had adhered to the minimum substantive and procedural protections required by law.

“At nearly every stage of the collection process, Defendants cut corners in the name of speed, cost savings, and their own convenience, providing only the thinnest veneer of legitimacy to their lawsuits,” the complaint states.

Chase used California’s judicial system as a mill to obtain default judgments, the suit alleges, using illegal tactics to flood the state’s court system in order to secure default judgments and garnish wages from Californians.

The alleged misconduct includes:

  • Robo-signing: Chase illegally robo-signed various litigation filings, including sworn documents, declarations, and verified complaints, without reviewing the relevant files or bank records or even reading the documents before signing.
  • “Sewer Service”: Chase failed to properly serve notice of debt collection lawsuits against consumers while claiming they had been served as required by law. This practice, known as “sewer service,” deprives the consumer of any notice of the lawsuit.
  • Filing Irregularities: Chase haphazardly assembled its official legal filings. For example, Chase failed to redact consumers’ personal information in attachments to filings, potentially exposing them to identity theft and in violation of California law. In addition, when asking courts to enter default judgments against consumers, Chase consistently swore under penalty of perjury that the consumers were not on active military duty. In fact, Chase never checked.  This deprived servicemembers of important legal protections to which they are entitled while on active duty.
  • http://oag.ca.gov/news/press-releases/attorney-general-kamala-d-harris-announces-suit-against-jpmorgan-chase
Link

California Homeowner Bill of Rights blocks BofA foreclosure

California Homeowner Bill of Rights blocks BofA foreclosure

A California man successfully halted a foreclosure sale on his property using the newly minted California Homeowner Bill of Rights to obtain a court injunction against two foreclosing parties: Bank of America and its ReconTrust Co. subsidiary.

For simply obtaining the HBOR injunction, the homeowner’s attorney is requesting $20,255 in legal fees and costs – a compensation request that is permissible under HBOR since the legislation allots borrowers reasonable attorneys fees and expenses for successfully obtaining an injunction.

Attorney Robert Jackson with Jackson and Associates out of California says the injunction alone may cost BofA/Recontrust upwards of $60,000 when calculating in attorneys fees and expenses from both sides.

“The biggest problem with the HBOR from the investor standpoint is the litigation risk of having to pay legal fees,” Jackson said. “The way the thing breaks down is when you get an injunction, the prevailing borrower gets all of their legal fees paid by the servicer and the investor.”