LPS Uses Bogus Florida IG Report on Firing of Foreclosure Fraud Investigators in Motion to Dismiss Nevada Lawsuit

LPS Uses Bogus Florida IG Report on Firing of Foreclosure Fraud Investigators in Motion to Dismiss Nevada Lawsuit

By: David Dayen

There’s some news on that front. Lender Processing Services, which has been sued by Nevada for deceptive practices in generating false documents, sought to dismiss the complaint today in a filing with a state court.

The complaint by Nevada Attorney General Catherine Cortez Masto fails to allege any document executed by subsidiaries was incorrect or caused any borrower financial harm, Lender Processing Services said in a statement today.

The state’s claims “are a collection of suppositions, legal conclusions and inflammatory labels,” the company said in the court filing. The document couldn’t be immediately verified in court records […]

Nevada sued the company in December, claiming that it engaged in a pattern of “falsifying, forging and/or fraudulently executing” foreclosure documents, requiring employees to execute or notarize as many as 4,000 foreclosure- related documents a day, according to a statement from the attorney general. Lender Processing Services also demanded kickbacks from foreclosure firms, the office said.

Two interesting things here. First, LPS leans hard on the idea that borrowers weren’t harmed by the use of false documents. The implication here is that the borrower was delinquent anyway, so there’s no abuse going on. But the more important part of the motion to dismiss (copy at the link) comes when LPS makes the claim that robo-signing isn’t really a crime. It’s merely “signing of documents by an authorized agent,” says LPS, and that is permitted under Nevada law. Here’s one way they justify that (DocX is a subsidiary of LPS):

The State of Florida has reached an identical conclusion regarding DocX’s surrogate signed documents. Two assistant attorneys general involved in that state’s investigation of the mortgage crisis, including DocX, prepared an information power point presentation in which surrogate signing was characterized as “forgery.” The two attorneys were subsequently terminated for alleged fraud, deficient and improper investigatory practices which triggered a formal review by the Inspector General of Florida. In a recently issued official report, the propriety of the termination of the attorneys was confirmed, and specifically, the power point characterization of surrogate signing as “forgery” was determined to be unsupported by the legal definition of forgery.

Wow. So LPS used the whitewash IG report from Florida to justify the dismissal of their lawsuit in Nevada. And remember, LPS lobbyists more recently urged the Florida AG’s office to intervene on their behalf in a criminal case in Michigan. The connections between the FLorida AG’s office and LPS just continue to grow.

Full post here…

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4closureFraud.org

Comments
6 Responses to “LPS Uses Bogus Florida IG Report on Firing of Foreclosure Fraud Investigators in Motion to Dismiss Nevada Lawsuit”
  1. indio007 says:

    The two attorneys were subsequently terminated for alleged fraud, deficient and improper investigatory practices which triggered a formal review by the Inspector General of Florida.

    That is a bald face lie. I would sue their ass for libel. Fraud was NEVER alleged. They were terminated for alleged poor performance.

    Holy crap … pot meet kettle…

  2. lvent says:

    My local news reporting..ROMNEY REQUESTING SECRET SERVICE PROTECTION….that proves who he works for..and its NOT all of us!!!!….BAN ELECTRONIC VOTING…..PAPER WRITE IN BALLOTS…THE PEOPLE MUST COUNT AND TALLY THE VOTES..PUBLICLY!….WE MUST PUT AN END TO THE RIGGED ELECTIONS…THE ELECTORAL COLLEGE IS A SHAM IN A FREE AND OPEN SOCIETY!

    • Bobbi Swann says:

      @ Ivent – it has already happened and been testified by a computer programmer! See here:
      http://www.youtube.com/watch?v=JEzY2tnwExs

      And this guy is from Tallahassee, FLORIDA

      • lvent says:

        Right on Bobbi….And guess who counts the votes?….A private company in Israel…! I heard on the radio yesterday..now this might be true…you guys down in Fla. Might want to check…your corrupt politicians down there made write in voting illegal…! So if you write in a candidate…it is not counted!!!!

      • lvent says:

        You guys really might want to verify that write in voting thing….! These politicians are sneaky rotten dirty bastards! Everyone should check that out..in every state! ARE WRITE IN CANDIDATES VOTES TALLIED????

      • lvent says:

        Eliot Spitzer for President 2012!

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