Free to the bank…
TRANSCRIPT OF PROCEEDINGS
EVIDENTIARY HEARING ON DEBTOR’S OBJECTION
BEFORE THE HONORABLE EDWARD D. JELLEN
UNITED STATES BANKRUPTCY JUDGE
From the transcript…
MR. ZULUETA: I just wanted to clarify, Your Honor, if counsel is representing One West Bank or Deutsche Bank National Trust Company as trustee for the mortgage loan trust.
MR. CHUN: We’re representing One West Bank, the servicing agent –- who’s the servicing agent for Deutsche.
MR. ZULUETA: Okay. So I just wanted to find out, Your Honor, if One West Bank has the proper authorization from Deutsche Bank to authorize them, because I don’t see any power of attorney presented.
THE COURT: All right. Well, you know, the bottom line is you’re not going to get a free house.
MR. ZULUETA: I’m not asking for a free house, Your Honor. I just want to make sure that the proper paperwork is in place so I can pay the right creditor.
THE COURT: All right. Do you dispute that these are the documents that exist?
MR. ZULUETA: Yes, Your Honor, I do. In fact –-
THE COURT: All right. Do you have any evidence to show?
MR. ZULUETA: Yes, Your Honor. If I may start with Exhibit D, Your Honor, which is the assignment of deed of trust.
THE COURT: Yes.
MR. ZULUETA: Okay. So if you look on the document itself, Your Honor, on the upper right-hand corner of the document, it states:
“This is to certify that this is a full and true and correct copy of the original recorded in the Office of the County Recorder.” And it’s signed by a Lorden Wallace (Phoentic) of Fidelity National Default Solutions. So my question, Your Honor, is, how is it possible for somebody from Fidelity National Default Solutions to certify a recorded document when they’re not a public employee of the Contra Costa County Recorder. So there’s no way that they can certify –-
THE COURT: What difference does it make?
MR. ZULUETA: Well, the difference, Your Honor, is, I actually pulled a certified copy from the County Recorder, and the document is different from what this document shows. I have a certified copy right now.
THE COURT: What’s different?
MR. ZULUETA: If I may show the Court, Your Honor?
THE COURT: Well, just tell me what’s different.
MR. ZULUETA: Okay. So the first thing I want to point out to Your Honor, is, number one, on the bottom of the page of the recorded document, there’s a handwritten scribble on the bottom after the signature of the notary that says, a notary on the basis within capacity under –- which means that this is not a true and correct copy.
THE COURT: What difference does it make?
MR. ZULUETA: Well, it does make a difference, Your Honor, because I’m trying to establish a pattern here of the fact that this document appears fraudulent.
THE COURT: Do you have any evidence that it’s fraudulent? I mean whether it’s recorded or not doesn’t make any difference.
MR. ZULUETA: Well, it does, Your Honor, because of all the exhibits that counsel is presenting today, there is a system of how my loan is supposedly deposited into the trust, and since they’re representing the trust, I want to make sure that they’re the proper creditor for my loan.
THE COURT: All right. Who do you think is the proper creditor?
MR. ZULUETA: Right now, Your Honor, it’s a mystery. I mean after my research –-
THE COURT: All right. But you don’t get a free house though. You have to –-
MR. ZULUETA: I understand. In fact, Your Honor –-
THE COURT: I’m not understanding this. Do you have original documents?
MR. CHUN: Yes, Your Honor. If it helps to resolve this issue, I do have the original –- what appears to be the original assignment of deed of trust, and it has the notation that was mentioned by the Debtor, “a notary on the
basis with capacity under…”
THE COURT: All right. Do you want to show it to –-
MR. CHUN: Sure.
MR. ZULUETA: Your Honor, I just wanted to clarify, my purpose is not to get a free house. I just want to make sure I’m paying the real party in interest, Your Honor.
MR. ZULUETA: Okay. I want to establish, Your Honor, that my loan was actually transferred and delivered to Deutsche Bank National Trust Company, as trustee.
THE COURT: There’s an assignment of deed of trust that –-
MR. ZULUETA: Well, Your Honor, the deed of trust doesn’t control the note. The note itself –-
THE COURT: It does. It says the note is assigned. He’s got the note.
MR. ZULUETA: Correct, Your Honor, but I’d like to point out that MERS, which is the assigning party of the deed of trust, is actually not a holder of the note.
THE COURT: Okay. I’ve heard all this. Do you have any evidence to show that they’re not the holder of the note. They’ve got the deed of trust; they’ve got the documents. So –-
MR. ZULUETA: Your Honor, the deed of trust is not evidence of the obligation though.
THE COURT: Okay. All right. The claim objection is overruled. Would you submit an order, please.
Full transcript below…
h/t Naked Capitalism