Tag Archives: DOCx

Michigan sets parole for ‘Linda Green’ robo-signer

And none of the bank execs responsible for the financial crisis are in prison..

The only person jailed in connection with a foreclosure forgery scandal that swept through Michigan and the rest of the country after the collapse of the housing bubble spends her days confined to the Women’s Huron Valley Correctional Facility in Pittsfield Township.

But not for long.

Sentenced in May 2013 to serve up to 20 years on racketeering charges, Lorraine Brown, now 55, will be paroled sometime this week, according to the Michigan Department of Corrections, after serving her 40-month minimum sentence. Brown will then be transferred to federal custody to serve the remainder of a 58-month federal sentence after pleading guilty to a single charge of conspiracy to commit mail and wire fraud.

Brown’s scheme netted $60 million between 2003 and 2006 for the parent company DocX, her Georgia-based document processing firm that forged more than 1 million foreclosure documents used by banks and attorneys to illegally turn homeowners homeless.

Read on.

What Happened When the FBI Investigated Foreclosure Fraud in Florida

By David Dayen

Six years ago, FBI agents in Jacksonville, Florida, wrote a memo to their bosses in Washington, DC, that could have unraveled the largest consumer fraud in American history. It went to the heart of the shady mortgage industry that precipitated the financial crisis, and the case promised to involve nearly every major bank in the country, honing in on the despicable practice of using bogus documents to illegally kick people out of their homes.

But despite impaneling a grand jury, calling in dozens of agents and forensic examiners, doing 75 interviews, issuing hundreds of subpoenas, and reviewing millions of documents, the criminal investigation resulted in just one conviction. And that convict—Lorraine Brown, CEO of the third-party company DocX that facilitated the fraud scheme—was sent to prison for duping the banks.

Thanks to a Freedom of Information Act request, VICE has obtained some 600 pages of documents from the Jacksonville FBI field office showing how agents conducted a sprawling investigation. (The Jacksonville case is also featured in my new book, Chain of Title.) The documents suggest the feds gained a detailed understanding of how and why the mortgage industry enlisted third-party companies to create false documents they presented to courts, as detailed in the 2012 National Mortgage Settlement, for which the big banks paid billions in civil fines. The banks’ conduct is described in the settlement documents as “unlawful,” and the Jacksonville FBI had it nailed almost two years earlier.

Read on.

Ex-DocX President Gets at Least 40 Months in Robo-Sign Case

Lorraine Brown, former president of the mortgage document processor DocX LLC, was sentenced to at least 40 months in prison on a racketeering charge in a robo- signing case,Michigan Attorney General Bill Schuette said.

The Alpharetta, Georgia, resident was sentenced yesterday by Judge Mark Trusock in Grand Rapids, Michigan, and sent to the state corrections department to start her sentence, the attorney general said today in a statement.

Brown’s term could be as long as 20 years, Schuette said. His spokeswoman, Joy Yearout, said today in a phone interview that the duration depends on her conduct while incarcerated.

Read on.

MICHIGAN: LORRAINE BROWN OF DOCX (LPS) PLEADS GUILTY TO RACKETEERING, A 20 YEAR FELONY

From Curtis Hertel Jr.

It was just announced that we have our first conviction based on fraudulent assignments in Michigan. Lorraine Brown of LPS plead guilty to racketeering a 20 year felony. This is all based on documents handed over by my office and other registersfrom around the State of Michigan. I hope this is just the beginning of the prosecution of those responsible for illegally foreclosing on Michigan citizens.

More to come as we get it…

UPDATE: Michigan AG Press Release here…

USA V LORRAINE BROWN – JOHN O’BRIEN AFFIDAVIT AND REQUEST FOR RESTITUTION

USA V LORRAINE BROWN – AFFIDAVIT OF MARIE MCDONNELL

LYNN E. SZYMONIAK’S REQUEST FOR JUDICIAL NOTICE OF INFORMATION AND PLEA AGREEMENT OF LORRAINE BROWN

COMES NOW, the Defendant, LYNN SZYMONIAK, by and through her undersigned counsel and pursuant to Florida Rules of Evidence §90.202 and §90.203, hereby requests this Honorable Court take Judicial Notice of the documents described herein, and in support states as follows:

1. SZYMONIAK moves this Court to take judicial notice of:

Information regarding Lorraine Brown, United States of America v. Lorraine Brown, Case No. 3:12-cr-198-J-25 MCR, (M.D. Fla.) (attached hereto as “Exhibit A”),

Plea Agreement of Lorraine Brown, United States of America v. Lorraine Brown, Case No. 3:12-cr-198-J-25 MCR, (M.D. Fla.) (attached hereto as “Exhibit B.”)

2. Under Fla. Stat. §90.206(5), the Court may take judicial notice of official actions of the legislative, executive and judicial departments of the United States. Under Fla. Stat. §90.202(6), the Court may take judicial notice of records of any court in this state or of any court of record of the United States.

3. On November 20, 2012, Lorraine Brown, (“Brown”) a former executive of Lender Processing Services, Inc. (LPS) and DocX LLC, a LPS company, pleaded guilty to conspiracy to commit mail and wire fraud.

4. LPS and DocX LLC were involved in the preparation and recordation of mortgage-related documents throughout the country since the 1990s.

5. SZYMONIAK moves this Court to take Judicial Notice of Brown’s information and Plea Agreement because these documents confirm that DocX employees engaged in a massive fraud in the preparation of hundreds of thousands of mortgage-related documents, including Mortgage Assignments, and SZYMONIAK contends that the Mortgage Assignment prepared and filed by DocX in her case, bearing the purported signature of Linda Green, was one such fraudulent mortgage assignment.

6. By way of background, DocX was hired by residential mortgage servicers to (among other things) assist in creating and executing mortgage-related documents filed with recorders’ offices across the country.

7. Brown represented to DocX’s clients that DocX had robust quality control procedures in place to ensure a thorough and proper signing, notarization, and recordation process.

8. Only specific personnel at DocX were authorized by clients to sign the documents.

9. At the direction of Brown, employees of DocX, including those who were not authorized to sign documents, began forging and falsifying signatures of the mortgage-related documents that they had been hired to prepare and file with property recorders’ offices.

10. After these documents were falsely signed and falsely notarized, Brown authorized DocX employees to file and record them with property records offices across the country.

11. Brown also hired temporary workers to sign as authorized signatures, and these workers worked without the quality control represented by Brown to DocX’s clients.

12. Many of DoxX’s temporary employees signed thousands of mortgage assignments each day, often signing the names of other persons on Mortgage Assignments that would then be witnessed and notarized. These employees often signed as officers of banks and mortgage companies. These employees signed without reading the documents or in any way ascertaining the truth of the matters presented therein, including the grantor, grantee, and date of the purported transfer.

13. Many of the documents, including mortgage assignments and lost note affidavits, were later relied upon in court proceedings including foreclosure proceedings and federal bankruptcy actions.

14. Brown admitted she understood that courts, property recorders, title insurers, and homeowners relied upon the documents as genuine.

15. Brown implemented these signing practices at DocX to increase profits.

16. Between 2003 and 2009, DocX generated approximately $60 million in gross revenue.

17. Brown admitted that she and others took various steps to conceal their actions from clients, law enforcement authorities, and others.

18. These steps to conceal included testing new employees to ensure they could mimic [forge] signatures.

19. The documents attached hereto as Exhibits “A” and “B” may be accessed online from PACER under United States of America v. Lorraine Brown, Criminal Docket # 3:12-cr- 00198-HLA-MCR-1.

20. Timely written notice of this request is hereby given by email service upon Plaintiff’s counsel as required by Fla. Stat. §90.203.

WHEREFORE, pursuant to Fla. Stat. §90.202 and §90.203, Defendant LYNN SZYMONIAK moves this Honorable Court to take judicial notice of the Information and Plea Agreement of Lorraine Brown, United States of America v. Lorraine Brown, Case No. 3:12-cr- 198-J-25 MCR, (M.D. Fla.) without hearing, and for such other and further relief as this Honorable Court deems just and proper under the circumstances.

PDF copy below…

http://www.scribd.com/doc/117131268/Judicial-notice