Foreclosure Fight | David J. Stern vs CitiMortgage – Bank Accuses Foreclosure Mill of Negligence, Says it won’t Pay for Previous Work

Bank accuses foreclosure mill of negligence, says it won’t pay for previous work

by Kim Miller

CitiMortgage, Inc., says it doesn’t owe back pay to the Law Offices of David J. Stern because the Plantation-based firm’s own “decisions, conduct, and/or negligence” caused its contract to be terminated.

Stern’s firm filed a breach of contract lawsuit against CitiMortgage last month in Miami-Dade County, claiming it is owed $4.4 million for work completed on the bank’s foreclosure cases.

CitiMortgage and the firm _ once one of the largest so-called “foreclosure mills” in the state _ had been doing business since about July 2009.

In a Thursday response to the suit, now removed to the United States District Court, Southern District of Florida, CitiMortgage complains that Stern’s firm made business promises that it broke when allegations of foreclosure-related wrongdoing surfaced and it was fired by federal mortgage backers Fannie Mae and Freddie Mac.

CitiMortgage also claims the bank’s own performance review of the firm in September found that it “falsely reported” that it had completed tasks on files that it had not.

The bank also filed a counterclaim against the firm in excess of $75,000.

Check out the rest here…

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4closureFraud.org

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CitiMortgage Answer and Counterclaims to David J. Stern

Comments
29 Responses to “Foreclosure Fight | David J. Stern vs CitiMortgage – Bank Accuses Foreclosure Mill of Negligence, Says it won’t Pay for Previous Work”
  1. Whatajoke says:

    Florida Bar = Acceptance of fraud upon the court system

  2. Fury says:

    Go get’em, AG Schneiderman!

    baum and pillar……. they have some explaining to do.

    i hope the other AGs do the same in their states to help the swindled homeowners.

    i have seen a few brochures of The Summit.
    people standing in shorts at picnics with their REAL f/c mill titles under their photos (documentation supervisor, etc)

    well, well so they weren’t bank vice presidents like they swore under oath to every Court in the land?

    perjury!
    fraud upon the Courts!
    fraud upon the homeowners.

    we want our stolen money and homes back!

  3. lizinsarasota says:

    We need to find all the back issues of The Summit, published by Fidelity National Foreclosure Solutions, n/k/a Lender Processing Services. There are three of the issues posted on scribd.com, and they read like an action-adventure novel, full of fraud, scams, and people grinning ear-to-ear while they perpetrated the biggest fraud the world has ever known.
    Any bank who was using LPS after the infamous Dory Goebel here’s-how-we-robosign article in the September, ’06 issue cannot claim to be an innocent about the filing of fraudulent affidavits. David J. Stern was listed in these newsletters as an enthusiastic user of LPS’s services, so CITI has no one to blame but themselves.
    Plus, let’s face it, folks, lawyers do what the client instructs them to do. The lawyers are the people we’d love to blame, but we have to blame their clients, ultimately. Lawyers have such plastic ethics that many of them can’t seem to tell right from wrong, even if a third-grader would know it’s wrong to swear that you know something when you don’t.
    And not holding “young” or “inexperienced” lawyers to the same standard of older lawyers is crap. The “young” lawyers just wrapped up the Florida Bar exam, HALF of which is devoted to – guess! – ethics! Ethics! Isn’t this all about ethics? Who is specially trained – specially and EXPENSIVELY – trained in that very subject? Who can slice and dice the nuance of black and white? Who can lean in and count the angels dancing?
    Still, having said that, I don’t need a LAWYER to tell me that it was wrong to sign someone else’s name a thousand times a week/day/second to legal documents! I don’t need a lawyer to tell me it was wrong to notarize legal documents when I KNEW someone else had signed them, claiming to be someone else. I don’t need a lawyer to tell me that it’s wrong, wrong, wrong, to swear that I had personal knowledge of financial information that was going to be used to hoist someone out of their home when I had no knowledge of the facts I was swearing to AT ALL. I don’t need to BE a lawyer to know it’s wrong to file fraudulent documents in court.
    What the hell is wrong with these people?
    I believe this whole situation – the “losing” of documents, the fraudulent filings, the carrot of modification, the phone calls, the letters – this was a huge scam on the part of the banks to keep our eyes on the prize of “working things out” and helped us get broke to a point that, even if we did think about hiring a lawyer, we no longer had the money to do it. They strung us along until we were so tired, so stress, so broke, so confused that we were like a turtle, wiggling frantically on its back – doomed.
    Sure, we can (and should!) file ethics complaints with the bar and yell and scream at the judges, but let’s keep our eyes on the real bad actors in this drama: the banks. It was the banks, all along.
    Let’s find more of these back issues of The Summit. By my calculations there should be between 25-40 other issues floating around. Someone needs to demand them in discovery or in a deposition. It’s powerful stuff and really exposes all the lies, all the excuses as what they are: b*llsh*t.

    http://www.scribd.com/doc/49357206/FIS-Foreclosure-Solutions-LPS-Lender-Processing-Services-the-Summit-Volume-2-Issue-3-September-2006
    see robosigning article by Dory Goebel page 16

    http://www.scribd.com/doc/49357212/FIS-Foreclosure-Solutions-LPS-Lender-Processing-Services-the-Summit-Volume-3-Issue-3-October-2007

    http://www.scribd.com/doc/49357190/FIS-Foreclosure-Solutions-LPS-Lender-Processing-Services-the-Summit-Volume-3-Issue-4-December-2007

  4. kravitz says:

    don’t wanna miss a thing….

    New York Subpoenas 2 Foreclosure-Related Firms
    http://www.nytimes.com/2011/04/09/business/09foreclose.html?ref=business

    “Eric T. Schneiderman, the New York attorney general, has issued subpoenas to the state’s largest foreclosure law firm and a related company, indicating that his office has some doubts about the effort by state attorneys general to resolve questionable foreclosure practices among the nation’s top banks.”

  5. marilyn lane says:

    The New York Supreme Court’s Judge Alice Schlesinger and NY Appellate First Department’s Judges
    David Saxe,Karla Moskowitz, Helen Freedman, Rosalyn Richter and David Friedman have alot in common with David Stern , THEY ARE ALL LIARS The Judges in their written opinions LIE ABOUT THE DATES AND LIE ABOUT THE FACTS.

    Chief Judge Jonathan Lippman issued orders that the attorneys sign affidavits, but that won’t stop the mortgage and title fraud if the above judges are allowed to continue to LIE in their written opinions.

    A hex on all of them. Let Judge Schlesinger hear the case and the winner will be who pays her the biggest bribe. Once a thief always a thief. .

    • enough already says:

      most people think this is only a floridah thing , i guess you have enlightened me for that i thank oyu. i do not understand the judicial branch of governement it was not formed to take bribes it was formed to give people due preccess. i am not looking foward to my court date because i live in a small town in floridah and if that his happening in an appelate court in NY imagine whatt is happening here with the good old boys. jsut a few things and you could respond. WF lost my paper work throughout my entire proccess of loan modifiying in 2009 adding more than 10k to my upside down loan (lost paper work increases what i owe) now i couldnt pay their high mod i had reapplied for hamo and now it happned ed again lost paper work. this time i have the tracking number and signee but wF refuses to acknowledge to the OCC that they miss place paper work. dont you would think an appology to me and the OCC would me in order but no. and what kills me the most with all the talk now about hamp loans and people being foreclosed anyway why would anyone (lawyers, senators offices direct to apply for a hamp loan????))))) i am in just awe at the extent of the cprruption that is happening in front of my eyes.

  6. Fury says:

    it sounds like maybe he didn’t pay some of his own attorneys. perhaps one of the attorneys could
    do pro bono work to get all of the vendors paid.

    then… they could help homeowners who have been ripped off by their work at the law firm.

    can’t say that i am crying any tears over stern’s shutdown. those people knew what they were doing to
    drive homeowners into the abyss.

  7. Fury says:

    after reading Disgusted and the other posts, i feel like i need to take a shower with the Fight Club bar of soap.
    so it sounds like daniel j. stern’s office doesn’t pay their bills.
    can he be tossed out on the lawn like he has done to so many others????

    i don’t think pam bondi would do it. she’s a huge disappointment.

  8. l vent says:

    THE PERPS ARE FIGHTING THE PERPS AND THE MOTHER AND THE FATHER THAT GAVE BIRTH TO THE SPAWN OF SATAN, THE GIANT PONZI SCHEME HEIST, THE AMERICAN IMPOSTERS, THE SO CALLED GSE’s, FANNIE AND FREDDIE ARE HIDING BEHIND THE SCENES. FANNIE AND FREDDIE BETTER COME OUT AND ADMIT, YOU ARE THE ENTITY THAT DEFRAUDED AMERICA WITH THESE LIARS LOANS THAT HAVE BEEN FRAUDULENTLY INDUCED SINCE THEIR ORIGINATION. ADMIT IT, THESE LOANS NEVER EXISTED BECA– USE YOU AND THE MULTINATIONAL BANKSTER/WALL STREET CABAL NEEDED COLLATERAL TO PARTICIPATE IN THE PONZI SCHEME HEIST AND THE DEFRAUDING OF THE AMERICAN PEOPLE AND YOU ALSO DEFRAUDED ALL OF THE PENSION FUNDS AND 401K’S. YOU DEFRAUDED THE ENTIRE U.S. GOVERNMENT, AND I DO NOT MEAN THE FEDERAL GOVERNMENT, BECA– USE THAT WOULD BE YOU AND THE U.N./NEW WORLD ORDER, BECA– USE YOU ARE AMERICAN IMPOSTERS USING AN AMERICAN FACE FOR A FOREIGN CRIMINAL ENTERPRISE. THE GSE’S FANNIE AND FREDDIE ARE ONLY POSING AS AN AMERICAN INSTITUTION AND ARE ALSO PERPS OF THE UN/NEW WORLD ORDER. AND ARE USING OTHER PERPS TO HIDE BEHIND. . FANNIE/FREDDIE ARE COMPLETELY CORRUPT AND ARE OUT TO_ DESTROY AMERICA _FOR THE_ UN/NEW WORLD ORDER. _THE GSE’S FANNIE AND FREDDIE MUST_ FULLY RESCIND OUR LOANS_ THEY ARE A COMPLETE FRAUD BECA– USE OF THE _ORIGINATION FRAUD_. GOD BLESS THE UNITED STATES OF AMERICA AND THE REPUBLIC FOR WHICH IT STANDS, WE WILL REMAIN, ONE NATION, UNDER GOD, INDIVISIBLE, SO ONCE AGAIN THERE CAN BE, LIBERTY AND JUSTICE FOR ALL. NATIONAL SOVERIEGNTY UNDER THE U.S. CONSTITUTION AND THE U.S. BILL OF RIGHTS WILL PREVAIL.

    • Antipodeus says:

      Dear ‘l vent’,

      I know you are upset, and are passionate about the issues, and are no doubt justified by your circumstances. But PLEEEAZE, I have asked you before, as nicely as possible, more than once … please STOP SHOUTING!!!! IT DOES _NOT_ HELP!! IT HURTS MY EYES!! _AND_ it makes your posts harder to read, so it’s really counter-productive. O. K. ? Thanks.

  9. Disgusted says:

    I just would like to say Stern is so laughable it is really disgusting . I own an employment firm in Boca Raton I have an EXCELLENT reputation I was called by Stern’s firm and I was told they were TRYING to change their image. I worked with the firm and I placed certified Paralegals , I NEVER placed Attorneys because I knew their
    fate once at Stern these kids right out of school had no chance. Anyway, all my candidates are working at other firms and they are great at what they do so great STERN had the balls ( WELL…maybe pebbles ) to use my services and when Citi, Fannie and Freddie removed the files I was left with invoices for tens of thousands of dollars and he has NOT paid me his President Stephen Bernstein, his Investor Services Rep Chris Simmons and his Gate Keeper Esther Surujon have been BSing me that they are going bankrupt and since October have not paid me Stern is suing for money my temps did and he did not pay me for. If I sue him I feel it is throwing good monet after bad I am available for any firm Stern is suing to let them know he hasn’t paid his vendors so he is stealing from us .I have no idea what happened to this guy he was so different he fooled all of us, he had loyal vendors, loyal employees he just had no soul how can he sue other firms for work he owes us for anyone
    have any ideas . I don’t think I can represent my own corporation in court . He is an animal. I worked with other firms and everyone paid their invoices he just wants to take people down with him.

    • see says:

      That is how con artists work. Wolf in sheeps clothing. What do the paralegals you placed at Sterns office have to say.about what went on there? Are they willing to talk?

    • lizinsarasota says:

      It is your duty to sue him. If I was you I’d want to be close to the front of the line, as opposed to the back of it. Aside from his primary residence, he’s got plenty of assets, either in his or his wife’s name. Splap a lien on something, for Pete’s sake. Go get him!

  10. Fury says:

    it’s like watching one of those bar wrestling matches where drunken people flip each other in a pool of jello.
    there is no one to cheer in this case—both parties are slime.

  11. Pj says:

    Where was Citi when Stern listed his company on the exchange, no doubt salivating over the proposed record profits Stern concocted with the help of Fannie Mae… come to think of it is there any way to find out who actually owned DJSP stock? Any former Fannie Mae people there?

  12. see says:

    Let these mills and banks beat each other to death. I seriously believe that Stern believes that he can do no wrong. And if he did no one will come after him because of who he thinks he is. One would think that with what he is accused of doing that the bar would be seriously looking into him and other attorneys from his firm. All these banks know what these mills did and they just looked the other way because it was wokring until the deabbeat homeowners and their attorneys started asking questions. Now the banks come along in an attemptt to save face and say they are the victims. What a bunch of crap. I say let these idiots go at it.

  13. Ms. A says:

    What a freekin’ joke! Like the Banks and other financial institutions who sought Stern’s services chose him because he was the poster child for Truth, Justice & The American Way!!! We all know that the Banks zeroed in on Stern and his ilk because THEY KNEW Stern would do whatever it took to meet their quota of foreclosures — and Stern certainly fulfilled their quota and then some. So the Banks got what they paid for and now they need to pay Stern for her services, because those of us who a suing Stern for fraud need to be paid for our damages. 8>}

  14. BooHoo says:

    the cat fight begins…. So Florida AG when do you plan on arresting these thieves. If it was me you would throw the book at me, throw me in jail, have carmel on the hunt to do a show. Maybe you should wait to see stern sailing away in his boat with the money, then you can call in Haratio Cain to save the day. This Country needs a cleansing.

  15. this is annoying already says:

    ????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????
    i guesss the same time banks/servicers stop lieing to us and goverment about their real agenda that these homes are worth more in foreclsoure and the modifications are just a delay

  16. The cannibalisms continue…..let them eat each other

  17. Lit Gant says:

    Where o where is the Florida Bar?

    Until David Stern is barred from practicing law because of all his fraud, you can believe all this mess will continue. So the question is, when will the Florida Bar do its duty and clean up ita shyster lawyers and give them the boot?

    • Ms. A says:

      I did file a grievance against David Stern with the Florida Bar, as well as a Criminal Complaint against Stern with the Florida Attorney General’s Office. Initially, the Bar blew me off and said that the Bar’s disciplinary processes “are not to be used as a substitute for civil proceedings”. So, I wrote back with a very scathing commentary on how the Bar was apparently protecting the criminal behavior of such attorney’s and advised I was sending copies of the correspondence to the Florida Attorney General (who is investigating Stern), the U.S. Attorney General Eric Holder, a reporter with the Associated Press, the Chief Justice of the Florida Supreme Court, among others. The Bar’s attorney immediate wrote back and advised they were going to investigate my complaint against Stern. In response, I did receive a letter from Stern’s attorney (Jeffrey Tew) that was essentially full of hot air and he, of course, did not address the elements of the Complaint – no suprise. Stern’s attorney is The Master of Pettifoggery. The Florida Bar is investigating Stern (he has been previously disciplined by the Bar) but, let’s face it, the Bar is nothing more than a Union for attorneys, so I don’t hold out much hope that they give Stern more than a slap on the wrist. Indeed, Stern should be disbarred, and if he is not disbarred that in itself will be a crime.

  18. this so annoying already says:

    WTF

    • this is annoying already says:

      so they both commit fraud and now they are fighting each other. canot wait for the rest of the servicers to join the show. great cat fight. still doesnt fix the mess they all left behind. and strain all these fraudulent fraudclosures have caused. my sister whom was a widow at the time she bought her house in pembroke pines florida wasscammed. so hope all you fraudsters enjoy scamming a widow raising a child. she wanted to sell her pembroke pines home and move to miramar about 10 miles away so i , her sister can help her with her daughter. so instead of her fraudbroker selling the house she signs a quick claim deed at closing. she did not know that she thought she sold her home this was the 1st home she has ever owned or sold. this fraudster went on andquick claimed it 2 more times. now per county records the house is vacant has chase/ robo sign lawyer watson. the miramar home her fraudbroke put her into the sub prime 2yr adjustable. her salary 40k, her rate adj. to 2500/month plus association fee’s. she could not pay it, i had moved to the west cost away from s. florida so she decided t ojust leave it all and move (uncontested forclsoures 2 of them) the pembroke pines home is vacant. if anyone knpw a south florid lawyer that wants to take a case for a widow and get my sisters house back for her will go straight to heaven. i am going through my own case here was thinking of calling the broward county public defenders office. obviouslly her house fraudclsooed on. please somehelp a a widow sigle mom win her house back this a call for justice. make a precedece. do not let another single mom walk away from the home she was fraudulently place in.
      thank you

      • Ms. A says:

        The Public Defender’s Office defends only defendants in criminal cases who are indigent.

      • this is annoying already says:

        but april charney is defendent foreclosures in jacksonville and she is a public defender, people who own homes are not indigents.

      • Ms. A says:

        April Charney work with Legal Aid – big difference.

      • Ms. A says:

        Also, your sister might want to file a criminal complaint with the Florida Attorney General’s Office against the broker who duped her into signing a QUIT CLAIM DEED and the State Attorney’s Office in the County where the fraudulent transaction occurred. You can download the Complaint form from the Florida Attorney General’s website. Also, if there is a Legal Aid office in your county, you can contact them and see if they can help you with your legal situation. It is absolutely sickening what was done to your sister, and my heart goes out to her.

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