Washington State Homeowner Sues To Void A "Charles Head-Orchestrated" Foreclosure Rescue Sale Leaseback

Andrews Publications reports:

• A victim of a mortgage fraud scheme is asking a Washington state court to declare that title to her home was not transferred to Deutsche Bank National Trust Co. in a foreclosure action. Seattle homeowner Phyllis Reynolds wants the King County Superior Court to declare that the defendant bank's title to her home is void.

• Reynolds sued Deutsche Bank, its agent Northwest Trustee Services Inc. and escrow company First American Title Insurance Co. after learning that the loan she took out to refinance her mortgage was fraudulent. The suit also names as defendants Donald and Linda Theriault, a married couple whose identities were allegedly stolen and used by con artist Charles Head to defraud Reynolds. Head is not named in the lawsuit.

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• Reynolds says that since she was not a Deutsche Bank customer and was the victim of a scam, the bank's title to her home is void and the foreclosure conducted by Northwest Trustee Services is a nullity. Reynolds also says any transfer of the title to the Theriaults is void as well. She seeks a declaration that title to the property belongs to her. Reynolds is also seeking unspecified damages from First American on the grounds that the company breached its fiduciary duty when serving as the escrow agent during the fraudulent loan closing.

Charles Head entities that are allegedly involved in this case are Funding Foreclosures (aka FundingForeclosures), Nations Property Management, and A-One Investment Management Inc. For more, see Woman Sues to Keep Home After Mortgage Scam.

Case Filing Information: Reynolds v. Theriault et al., No. 07-2-29304-3, complaint filed (Wash. Sup. Ct., King County Sept. 6, 2007).

Go here for other posts on foreclosure rescue operator Charles Head, Head Financial, and related companies.

For more on equity stripping scams, generally,see DREAMS FORECLOSED: The Rampant Theft of Americans' Homes Through Equity-stripping Foreclosure 'Rescue' Scams (4.61 MB approx.).