Feds Investigating LPS Subsidiary DOCX
Well well well…
I wonder if this has anything to do with The Whole Country is BOGUS – Fabricated Mortgage Assignments All Over the Country???
Jacksonville Business Journal – by Rachel Witkowski Staff reporter
The U.S. Attorney’s Office in Tampa is investigating a subsidiary of Lender Processing Services Inc. that processes mortgage documents for lenders.
Jacksonville-based company (NYSE: LPS) stated in its 2009 annual report that the U.S. Attorney’s Office of the Middle District of Florida recently began inquiring about the business processes of a subsidiary, DOCX LLC, based in Alpharetta, Ga.
LPS also acknowledged that there was an “error” in DOCX’s business processes and LPS immediately corrected it, according to the annual report filed with the U.S. Securities and Exchange Commission.
“We have representatives speaking with the U.S. Attorney’s Office and we are cooperating with all inquiries made by the U.S. Attorney’s Office,” said Michelle Kersch, LPS’ senior vice president of marketing and corporate communications, in an e-mailed response. “We changed the business process that created the technical error, provided additional training to our employees and corrected documents.”
The U.S. Attorney’s Office declined to comment on its investigation.
Kersch said LPS was contacted by the U.S. Attorney’s Office in February. That same month, another investigation by the Clerk of Superior Court in Fulton County, Ga. into DOCX had closed without taking any further action, officials said.
LPS has become a dominant player in the mortgage servicing market since it spun off from Fidelity National Information Services in July, 2008. LPS serviced about 70 percent of the non-performing loan market and 40 percent of foreclosed loans nationwide as of Dec. 31, according to LPS’ latest “mortgage monitor” report.
LPS increased revenue to nearly $2.4 billion in 2009 and recently announcing it will add 350 jobs through 2011. The Jacksonville Economic Development Commission has recommended nearly $3 million in city and state incentives for LPS to add those jobs in Jacksonville.
Reporter Rachel Witkowski, covering banking and finance, property insurance, hospitality and tourism, (904) 265-2219
More to come…