Washington Post – Ally’s mortgage documentation problems could extend beyond 23 states

So yesterday I get an email from the Washington Post requesting some documents that Jeffrey Stephan signed in NON-Judicial states, since they are only halting their proceedings in 23 states, and sent some over…

This morning I get a “Thank You Again!” from the reporter over at the post with a link to their latest layer of the onion peel…

Next up request… Other withdrawals of Robo-Signer documents from GMAC. (hint, Jeffrey ain’t the only one)

It’s is funny that we have everything that they want…

LINK – Ally’s mortgage documentation problems could extend beyond 23 states

Washington Post Staff Writer
Thursday, September 23, 2010; 8:38 PM

Flawed foreclosure documents like those that led mortgage lender Ally Financial to halt evictions in 23 states this week are showing up in parts of the country previously thought to be unaffected, including the Washington area, according to attorneys and consumer advocates

Ally Financial has not called off evictions in the other 27 states or the District of Columbia, none of which require a court order to initiate a foreclosure. And yet in those places, distressed borrowers, on the brink of losing their homes, are finding flawed and forged documents in their files and scrambling to challenge foreclosure proceedings.

Joan Cavanagh, who lives near Cape Cod, in Massachusetts, a state not included in Ally Financial’s moratorium, is scheduled to be kicked out of her home in 30 days. Her documents were signed by Jeffrey Stephan, the Ally document processor who admitted that he approved 10,000 foreclosures a month but never read the files to see whether the proceedings were justified.

Until Ally’s announcement this week, she said she did not understand why her documents had so many inconsistencies. Her file, for instance, was notarized after Stephan signed it, although the notary was supposed to witness the signing.

She said she initially did not fight the foreclosure case but is now seeking a lawyer to file suit.

“Everything about the documents were suspect to me,” Cavanagh, 54, said.

Ally, the nation’s fourth-largest home mortgage lender, said on Monday that it would freeze evictions after discovering a “technical defect” in documents submitted for foreclosure proceedings. Attorneys for homeowners say Ally, formerly known as GMAC, was compelled to take such an extreme action because of Stephan’s admission, which was made in a sworn deposition.

The problems in the nation’s foreclosure system are much wider than those exposed at Ally. Court documents and interviews with lawyers and legal experts show that forged documents and faked signatures are common in foreclosure files while an overwhelmed legal system looks the other way.

In the 23 states where Ally froze evictions, the courts require the person signing off on foreclosures on behalf of a lender to have “personal knowledge” of the documents involved in the case, Ally spokesman James Olecki said Thursday. Once the company realized that its document signers did not, it had to replace the “defective affidavits” with new ones.

I am actually really curious how they just found someone with “PERSONAL KNOWLEDGE” on hudreds of thousands of affidavits filed with the courts, not to mention the hundreds of thousands of defective assignments of mortgage that have littered this country’s land records potentially destroying the titles to the homes they were used on…

If anyone knows who is doing the “replacement affidavits” please let me know so we can get notice out to depose them too!

And one last thing, why is it every time these fraudsters get caught breaking the law, all they do is pull whatever it is from the court file like it never happened? If you or I tried to pull this crap, we would be locked up in an instant…

Where are the criminal indictments!!!

You can read the rest of the post article here…



6 Responses to “Washington Post – Ally’s mortgage documentation problems could extend beyond 23 states”
  1. Lit Gant says:

    Everyone should read all this on the case in 2005.



    The the order of Judge Jon Gordon here:


    This information should be spread all over the USA.

    Lit Gant

  2. jlsemidey says:

    yesterday i made it a mission to send your blogs info to all the newspaper reporters i know. including the washington post and posted your web address on the comment section, facebook and twitter feed.

    i do not take credit for them contacting you guys, but every push moves us forward. today i called NPR and also participated on air!

    thanks to you for doing something that very few of us could have managed to make happen.


    i also sent letter and copies of the fraud to our local judges.

    i guess they also need some CE

  3. Well I am in battle with Nationstar over the same arguments, but worse. I have proof of forgerys and paper shuffling to try to foreclose on my home. Nationstar is supposedly the servicer of the mortgage and is foreclosing on my home, and they bought it from GMAC, which in turn was bought from, Homecomings, that was bought from money smart I guess?. But anyway Nationstar denies being the holder of the Note and mortgage, and GMAC denies being the Note holder and mortgage holder, but they get their time in court to Foreclose on someone who has asked for the proof of ownership, of the Note, but all they send me are conflicting documents with forged documents, rejected rescission within my rights, back dated documents, and pure pergery and not to mention the fraud committed against the governments backing of the Fanie Mae mortgage that was paid to GMAC on fraudulant terms. Homecomings was out of business when they were taken over by GMAC which was part of the scam right from the beginning. I was even forced to do the closing on a Sunday on Aug 5, 2007 in the realestate office with no reps. from the lender, or any lawyers present, and only the Real Estate agent that defrauded me by not giving me the Radon disclosure, that described the defect of over the limit Radon. When it was produced at the closing, I wanted to back out of the loan because of the Radon, I was refused by the Mortgage Broker, and told that I would not get my funds I put out, ($7600) for down deposit, and closing, and I would not get funding from them for another home that I originally applied for, but the Realestate said that it had problems that the mortgage would not permit. So I went through with the closing because I had no where to live. Even the apraiser was involved with the scam as he did not report the Radon and degeneration of the brick that was covered up with paint to hide the defects. I never received the original documents to view for the three day cool of period I was intittled to, and never received the disclosures of my rights of rescission or any paperwork that pertained to the interest or final documents.
    So tell me where I am at fault for getting a home that I can’t afford. I stopped making any payments after the so-called remodifacation Nationstar gave me, that was also full of fraud. They added thousands of dollars to the back of the loan, and said that all the arrears were caught up. then after I made two payments they started to charge me late fees and not applying my payments to the monthly agreement of $551 because they made the payments $690 without telling me, then sending me more foreclosure threats.. They also said that I owed $900 for escrow after the remodifacation was in action for two months and I was in arrears of $1500 right after the remod. was signed, but never told me these little lies, they kept from me, so that they could foreclose on me. They were only doing what the government helps them do, as the courts are also siding with the Lenders.
    I am an American and I should have my rights concidered above all, but it does not work that way, because Wall Street owns the Government, and the Banks, and they are selling our homes for a profit of thirty times over the Homes vavue, besides the mortgage insurance I paid for at $125 per month, and the bailout from the government. Tell me Mr. President how are your bailouts helping the people?
    All your programs do for anyone is make 6000% profit for the Wall Street gandland you support. Your bailouts and programs are helping to make the whole system get more wealth at the cost of America’s family’s.
    You should be ashamed of your so-called help. Why don’t you just tell the truth for once and tell the American’s that the Government does not work for the people, but only for the Machine. You even have the gall to let the bankers make up some fake strawman so the truth of who ownes the Note and Mortgage. You let them put in a fake stand in called MERS to foreclose on everyone, so the banks can hide behind all the fraud. There are so many violations in my mortgage, from the audit I had to do myself that it is discusting. I can imagine if I paid $1000 or two, to have the whole mortgage done by a professional, that half the government would be held liable. They can try to intimidate me all they want, but I will not give over my rights to anyone, including the government.
    As for everyone else, don’t let them take your home, fight with your life, because thats what there after, to weaken the American people so they cant fight back. You can do it yourself like I am, because I spent several months researching the industry and how to fight them back with there own fraud. The saying goes “fight fire with Fire!”

    • Liberty says:

      Nationstar foreclosed on me after accepting trail modification payments early and assuring the new docs were in underwriting.

      Nationstar never sent me a notice that HAMP had been denied, though they did tell me after they had bought the house at the public trustee sale that it had been denied due to excessive forbearance.

      The house went to a REO for resale. I stopped the sale to a third party.

      I filed a Verified Complaint For Wrongful Foreclosure and filed a lis pendens.

      We are in litigation now and they have run up their attorney fees to approximately 50k.

      Don’t trust them. They told me that the reason my house foreclosed was because “there was miscommunication between the loss mitigation and hamp departments”.

  4. Lit Gant says:

    Someone needs to send the WP the link to this excellent Court Decision in 2005. Where Judge Jon Gordon rendered the best decision ever handed down in Florida.


    MERS needs to be the focus to stop all this madness. They will replace these affidavits with one someone can say, “yes, I reviewed the file and information, and yes, I can verify it is correct.” They will find a way to do this as rapidly as they did the fraudulent ones. All each file needs is a print-out of the info for the signor.

    Lit Gant

  5. Michael says:

    So Congress obviously believes perjury to be a serious enough crime — a “high crime or misdemeanor” — to justify the impeachment of a President. It’s time to see indictments, lots and lots of indictments, from coast-to-coast.

    Oh mill workers: you’re going to a house you can’t get kicked out of no matter how hard you try. Each case a separate incident; eligible for stacked sentences. Sign, stamp … one year. Sign, stamp .. another year. You’ve reached life by lunch on any given day. Time to start talking, which you still have some leverage.

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