OCC Foreclosure Reviewer: “Independent” Reviews Were Controlled by Banks, Which Suppressed Any Findings of Harm to Foreclosed Homeowners

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OCC Foreclosure Reviewer: “Independent” Reviews Were Controlled by Banks, Which Suppressed Any Findings of Harm to Foreclosed Homeowners

You simply must read this post if you care at all about the rule of law or can stand to see the gory mechanisms by which “regulation” has now become a fig leaf for criminal corporate conduct.

Reader Luxtexente submitted this comment yesterday, describing his experience as a Claim Reviewer for one of the 14 servicers, in theory working under the direction of Promontory Group and the OCC. He makes clear, contrary to other banks, which hired very junior people who had little understanding of real estate law and foreclosure procedures (see Adam Levitin and Abigail Field for examples) or foreclosure review firms who held themselves out as experts but have yawning gaps in their knowledge, that he and many of the other reviewers he worked with were very well qualified to screen servicer records. He describes how these reviews were systematically gutted.

Remember, the review firms were supposed to be independent, selected according to criteria set by the OCC and paid for by the banks, but supposedly not accountable to them. We had dismissed that idea early on as ridiculous. From a May 2011 post:

Let’s see…who chose these reviewers? The banks. Who is paying their bills? The banks. Who is a potential future client if all goes smoothly? The banks. And Walsh seriously expects us to believe the reviewers are independent, even before we get to the rampant conflicts?

But as Luxtexente tells us, it was much worse than that. It wasn’t simply that the consulting firms airbrushed out unflattering findings so as not to ruffle their current and hoped-for future meal tickets. The banks were actively involved in overseeing the project and the results were shameless rejection of any and every possible basis for borrowers getting recompense. He provides numerous examples of unquestionably abusive conduct, such as foreclosing on homeowners in non-judicial states without advertising the notice of sale as required by law, or failing to send a notice of acceleration. Enough of the reviewers understood state law requirements that they would find many, often over a dozen, violations on a single file. So how did the bank and the OCC conspire to solve this problem? They redefined the review process so as to omit matters of law. I am not making this up.

This is what corruption looks like at the operational level. I suggest you read this piece closely; it’s chock full of damning tidbits. For instance, Luxtexente gives us one reason why the cost of this process got to be so high: he and his colleagues were being paid early on to do nothing.

From Luxtexente:

Read it here…

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4closureFraud.org

Comments
6 Responses to “OCC Foreclosure Reviewer: “Independent” Reviews Were Controlled by Banks, Which Suppressed Any Findings of Harm to Foreclosed Homeowners”
  1. charley rice says:

    It’s TIME FOR ALL THE HOMEOWNERS to MAKE THE NOISE & PUT THEM ALL on NOTICE & GO RECLAIM our HOMES!

    THEY STOLE & TOOK EVERYTHING FROM THE PEOPLE & THE TAXPAYERS & LEFT US NOTHING…

    WE PEOPLE HAVE TO UNITE & SHUT THEM ALL DOWN!

    THE BOTTOM LINE IS they’re NOT GOING TO GIVE US THE MONEY, THEY WERE ALREADY PAID BY US, THEY WERE ALSO BAILOUT BY THE 2008 TARP, THE DEBT WAS WRITTEN OFF,

    SO PUT THE CORUPT BANKS, & ALL THEIR ACCOMPLICE ON NOTICE & MARCH TO RECLAIM ALL OF OUR HOMES.

    NO COURT CAN HAVE LEGAL JURISDICTION OVER FRAUDULENT DOCUMENTS BECAUSE IT FALLS FLAT ON IT’S FACE.

    THE COURTS ARE WORKING WITH THE BANKS!

  2. Ken Hansen says:

    Confirming the obvious. The problem is that protection hasn’t been put into place, the industry types (and their obedient stooges) want nothing more than a return to a plundering free-for-all.
    At some point, we’ve decided that it’s ok to let Banksters send their hordes in to plunder, loot and steal everything in sight while blaming victims and indemnifying their militarism with “the law.”
    It’s a bad car crash in slow motion, why is there a bother to give the idea that steps are being taken to help people? Each action is PR work to cover intentional, premeditated harm. This is what it is like to be on the receiving end of violence.

  3. This is just another way for them to dupe us.When they sent me my paperwork it had GMAC on it.I called and told them never went to court with GMAC went to court with US Bank NA please to change paperwork or I cannot participate as this is in correct.Young man I spoke with said he would have a supervisor call me back so we could correct this issue.Been waiting a year now for that call oddly enough I don’t think it’s going to happen lol.So glad I did not get involved in this crap.Never got my hopes up so never got disappointed.

  4. Unbelievable! It just Keeps getting more outrageous, doesn’t it? Corruption at every level! In the past, they had a solution for this, but with these folks, I wouldn’t waste the feathers on them!

    • Lynn says:

      There is no answer to any of this. Everyone is in the legal system is holding stock in one bank or another. I didn’t even make it to discovery!! The judge dismissed both my claims without me saying one word…

  5. Lynn says:

    I went thu this whole thing, thinking it was my last hope. I sent a letter with all my info, and my lawyers name, I thought that if they needed more information, they would contact her. Well, I get a phone call from a Pat Frost that works under John Stumpf WFHM. She is reviewing (?) my claim. OMG this is the people who stole my home!!! She then contacts my lawyer (which is illegal because we had a break in the house suit going on) I never gave the OCC permission to forward anything to WFHM I am now filing a complaint. Needless to say I got nothing from Wells and they dismissed everything. Don’t waste your time. You are only giving the other side all the info they need to shut you down. BTW, I did win a small judgement against Wells Fargo and Corelogic the animals who broke in my home 3 times and destroyed the whole front door. I am waiting 5 months now to get it. Can I foreclose on them???

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