Federal Court Denies "Dream Homes" Request To Lift Cease & Desist Order

The Free Lance-Star reports:

• Metropolitan Grapevine has failed in its attempt to have a federal judge overturn an order to temporarily stop its operations in Maryland. The company, which has an office in Spotsylvania County, got an emergency hearing Sept. 12 in U.S. District Court to protest the Maryland Attorney General's order to stop accepting members in its Dream Homes program until the state holds a hearing. Metropolitan Grapevine officials submitted affidavits to U.S. District Judge Roger W. Titus stating that they are getting numerous inquiries from worried current and prospective investors about the status of the program, and "are hemorrhaging their business goodwill."

As I understand it, the Federal Court's decision doe nothing more than allow the State of Maryland's temporary injunction against Metropolitan Grapevine to continue pending a resolution of their ongoing dispute between them which is currently being litigated in front of the Maryland Securities Commissioner.

The investment program involved in this case is also known as POS Metro Dream Homes. For more, see Dream Homes loses bid to restart business (A federal judge denies Metropolitan Grapevine officials' plea to overturn an order to stop taking new investors into its Dream Homes program).

For a copy of the Federal Court's decision, see Memorandum Opinion - Williams, et al. vs. Lubin, (Securities Commissioner of Maryland).

For other media reports on latest developments, see Mortgage company loses court appeal (Laurel Leader, 10-4-07).

Go here for other posts & links to earlier stories on Metropolitan Grapevine / Metro Dream Homes.