Unprecedented Civil Jury Verdict Finds Major U.S. Bank Guilty of Fraud Bank Breached Mortgage Agreement in Case Brought by U.S. Govt. Fraud Investigator
Jan 30, 2013 – Washington, DC: In October 2012, an historic civil jury verdict in the District of Columbia found that OneWest Bank, which also does business as IndyMac Mortgage Services, violated DC’s consumer protection law by breaching its contract and committing fraud against the plaintiff, Ross Yerger (“the customer”) – a Special Agent with the United States Secret Service. Actual damages were awarded and accompanied by punitive damages and attorney fees. This is the highest level at which any such case has been decided against a financial institution in favor of victory for the plaintiff.
This case is also being considered by the United States Attorney’s Office for additional action and has already been considered similar in nature to the current Bank of America lawsuit filed by the U.S. Government. The case citation is Yerger v. OneWest Bank, No. 2011 CA 000706 in the Superior Court for the District of Columbia. JR Howell, Esq. of JRH Legal Strategies represented the customer.
In August of 2009, OneWest Bank, solicited the customer into joining its “Equity Accelerator Program.” Under that program, OneWest promised to debit the homeowner’s mortgage payment in two bi-monthly installments every month for the remainder of the loan. OneWest said that the program would result in over $170,000.00 in interest savings and a gain of nearly $70,000.00 of equity in ten years. OneWest Bank’s promises were reduced to a written agreement.
The program was not executed as promised. The bank never debited any money from the customer’s account. However, the bank consistently charged the customer hundreds of dollars in late fees. The customer repeatedly cured the bank’s failures by making the mortgage payment manually, including the fees that were charged because the bank failed to make the debits. Each time he made these payments, he was told the debits would continue under the program as agreed. But that never happened.
Several months later, the customer was threatened with foreclosure. The bank’s lawyers told the customer to pay $9,878.22 to stop the foreclosure in August of 2010. The customer immediately paid this amount, but three weeks later the customer received that payment back from the bank, which said it was refusing to accept the payment. The foreclosure was scheduled for October 21, 2010.
The bank’s lawyers then demanded over $16,000.00 a few weeks later, otherwise it was going to sell the customer’s home in a foreclosure sale. The customer came up with the money. At trial, several thousands of the dollars were labeled as miscellaneous fees and remained unexplained. Hundreds of dollars were never applied to the customer’s account and remained unaccounted for at trial. A witness for the bank was unable to explain why the customer was charged several thousand dollars in unspecified fees and what the bank did with hundreds of dollars of the customer’s money.
A few days later, the customer was sent a mortgage statement rife with accounting errors, saying that the customer was a month behind on his mortgage-even though the bank told him that the $16,000.00 payment would bring him current. Even though the bank’s lawyers told him the accounting error was fixed, the following month he was sent a mortgage statement demanded three times his regular mortgage payment. OneWest Bank refused to accept the amount of the regular monthly mortgage payment and demanded the customer pay the full amount that they insisted. In deposition, the witness for the bank confessed that these statements were mistakes. But at trial, the witness recanted this statement and restated that the November 2010 statement was accurate. Neither the bank, nor an independent auditor completed an audit of the customer’s account.
The lawsuit began in January of 2011. When the summons was served on the bank, the customer’s legal counsel sent a letter with the complaint, explaining that there was no need for litigation to fix this issue and that the parties could negotiate their differences amicably. There was no response to the letter. Instead, OneWest Bank forced the customer to undergo two years of protracted litigation, as well as surveillance on the residence by the bank’s contractors and other harassment.
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Nothing will happen to JPMorgan Chase…. (they ARE the gov?)
I don’t see the government doing much either, since One West donated one million dollars to the Obama admin. what are the chances. I myself am in active litigation against One West for foreclosure fraud along with several other illegal wrong doings on their part. We have lost all of our life savings and any kind of retirement we once had fighting them from stealing our home. My problems started with One West( Indymac) October 2009. It is hard to fight corruption especially against a government created entity. I truly hope this catches the attention of someone who can put a stop to this outrageous bank and all their corrupt and illegal practices. As long as we the people cannot look to our government for protection against these huge corps. and their endless funds I fear our economy will never recover. God knows it is in no better shape now than it was 2 years ago no matter what lies our government tries to make us believe. I am heartbroken and overwhelmed with disbelief about this, Hollywood couldn’t even come up with this kind of story.
@ Tim exactly I am actually part of that group as well, look even deeper into Indymac/One West it is truly amazing how deep the corruption is.
I can relate to loosing everything to One West Bank trying to fight their unlawful foreclosure. I spent everything trying to fight them to the point of becoming homeless living in a tent but I have recovered from that to a point that I have a house to live in. I have been in litigation for 24 months now 22 months have been without an attorney. After $50,000 I could no longer afford one I have spent hundreds of hours in the law library and twice that doing research and “truly amazing” doesn’t half express how deep the corruption is. It is actually Treason against the U.S. Constitution and the American people! How did we not see this and for so long? When I win my cause against One West (date for jury trial will be set tomorrow) I am taking it up with the CFPB who had they done their job of enforcing the rules they make I wouldn’t be here now. I am already putting the pressure on my representatives in congress and the senate.
You don’t see the government stopping it because THEY are all heavily invested in the fraudulent toxic mortgage backed securities… they know all about it because they helped to create it… now it’s time to pay the piper and they are hoping it will all go away… of course the UN Agenda 21 which we have been delivered unto calls for the END OF PRIVATE PROPERTY of any kind. They figure well we might as well steal as much as we can while we take all the property and turn it over to the new UN world government. Have you ever seen a politician cut his or her own throat to serve you? NO? And you won’t either.
Great news as long as are OneWest or Indymac.Now how about all the other ones too.This has been going on way too long for our government not to see what is clearly in front of thier noses.They choose to ignore and keep perpetuating the ongoing crime that is happening to all of us.Return our money,gold ,houses,and credit rating as you ARE THE RESPONSIBLE PARTIES THAT ALLOWED THIS TO HAPPEN.JMHO.
Alright….. maybe our government is catching on to these indymac / one west crooks…they have been stealing properties for some time now and riding the gravy train amist all the confusion. Just google indymac complaints…..a million customers cant be making this stuff up…..I hope this trend continues and it wipes Soros, Dell and Munchkin out!
1. Highly concern when I was turned down twice on a refinance, by Countrywide. All at once Fifth Third Bank did the refinance. I believe Country-wide look at all the “QUIETIONABLE LOANS” and rush to remove them from their books anyway they could, using known brokers that could get this job done! before the transfer to BANK OF AMERICA. I believe they blind-sided them also…. You see Fifth Third Bank started right away with appraisal imperiling, loan application, and my credit report approving. Then after approval Fifth Third Bank, start with Forced Placed insurance at $500 per month more on the payment, I had automatically take from my checking acct., this caused me to cash in my 401k plans just to cover, later to find out, I had insurance and Fifth Third Bank paid for it out of my escrow…Then Foreclosure with all attempts to refinance with them were refused.
They were the predator that worked with Countrywide in all these dealings, and ended up unharmed! I want my home back, free and clear with compensation, A.S.A.P.
without prejudice,
Robert Tatge