Texas 12 Count Mortgage Fraud Indictment
Go here for other posts on this story.
Welcome to The Home Equity Theft Reporter, a blog dedicated to informing the consumer public and the legal profession about Home Equity Theft issues. This blog will consist of information describing the various forms of Home Equity Theft and links to news reports & other informational sources from throughout the country about the victims of Home Equity Theft and what government authorities and others are doing about it.
Reportedly, state as well as federal agencies, including the FBI, are investigating.
The Maryland law firms representing the homeowners in this case are Civil Justice, Inc., a Baltimore nonprofit law firm, Legg Law Firm, LLC of Frederick and The Holland Law Firm of Annapolis.
For the whole story, see Class action alleges home equity theft (Foreclosure-rescue firms object of suit).
Go here for more on Civil Justice, Inc. Joy Jackson
Highlights from the story, as reported by the Journal Sentinel:
(1) The foreclosure rescue proposal from Officer Black appeared to be the best from a swarm of investors promising to save the homeowner from foreclosure.
(2) Officer Black may have used his status as a cop to "grease the wheels" in his attempt to make the deal and to get possession of the property. Reportedly in one instance, according to the homeowner, in attempting to make the deal in the first place, Black told him "You can trust me. I'm a police officer and want to help you."
(3) After a deterioration in the relationship based on an alleged failure to pay rent and a prior eviction attempt, the homeowner videotaped himself giving a check for the May, 2006 rent to Officer Black's partner, Blair, and getting a receipt. Quoting from the story:
Reportedly, Black had identified himself to the deputy as a Milwaukee police officer.
(5) The homeowner ultimately prevailed in the eviction proceeding, the second eviction attempt made by Black and Blair. The judge dismissed the eviction lawsuit, ruling that homeowner's videotaped payment was made before the expiration of a five-day grace period after an eviction notice.
(6) The homeowner's attorney now says that Officer Black has given notice that a third eviction action is possible over the homeowner's alleged failure to make house repairs. The homeowner has a claim of retaliatory eviction pending against Black.
Other Points:
(7) Wisconsin state Sen. Jim Sullivan is reportedly drafting a law in Wisconsin to regulate foreclosure rescue operators.
(8) Catey Doyle, chief staff attorney at Legal Aid Society of Milwaukee, said her office is awash in homeowner complaints that foreclosure rescuers ripped them off.
For more, see From foreclosure fire into eviction frying pan (Desperate homeowners are targets of buyback plans).
The increased use of single family dwellings being used as marijuana "grow houses" was featured on both the NBC and ABC evening news last Thursday. When considered in the context of the current real estate market that's flooded with desperate home sellers (many of whom having little, no, or negative equity in their properties) looking to unload the homes (many of whom who may be "ripe" for an offer to rent the place for an amount sufficient to cover the payments on an "exploding" subprime mortgage as a way of avoiding foreclosure), don't be surprised if there's an indoor pot farm "coming soon to a neighborhood near you."
To watch the NBC report, from Diamond Bar, California, see Pot growers plant themselves in the 'burbs (NBC Nightly News by Peter Alexander - 6-14-07).
To watch the ABC report, see The Marijuana Fields Next Door (Cops say organized crime is sending families into the suburbs to grow marijuana) (ABC News by Jim Avila - 6-14-07).
To read the ABC online report, see Marijuana McMansions. (ABC News - 6-14-07).
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To read about the rise and fall of Mitchell Shane Estep, a former Central Florida indoor pot farming entrepreneur, who went around renting dozens of single family homes in upper middle class neighborhoods from landlords (he preferred gated commmunities) and setting up an indoor marijuana farm, or grow house, in each home, becoming a marijuana mogul in the process by the age of twenty five, see Suburbs the new hot spot for pot growers, reported by The Daytona Beach News-Journal.
Landlord-tenant pot farming litigation involving a raid by Federal agents of a rental home even recently made it onto the TV show, The People's Court (no longer available online).
Go here and go here for other posts on Marijuana Grow Houses. pot grow ops alpha
The Dallas Morning News reports on the problems in the upscale community of Lake Ridge, in far southwest Dallas County spanning Cedar Hill and Grand Prairie. Reportedly, 88 foreclosures have been posted for this community (currently having 950 homes, with an additional 1,200+ unimproved lots) since January, 2007 compared with 48 in the first six months of 2006. This, plus a number of fire damaged homes (arson suspected in at least one fire) that are currently open to the elements have homeowners concerned for their community and their home values (see Officials say there's hope for troubled Lake Ridge neighborhood).
The Detroit Free Press recently reported that because of the glut of empty houses -- both for sale and foreclosed -- unkempt properties with thigh-high grass, busted shutters, falling roof shingles and litter, debris and mailers all over the porch, lawn and curb are increasing in nearly every community in metro Detroit that decreases everyone's property value (see Unheeded homes - Neglected unsold properties create neighborhood eyesores).
The Oakland Press (Pontiac, Michigan) reports that local officials throughout the county are having a tough time keeping up with all the complaints of overgrown grass in large part because of all the foreclosures. In addition to the unsightliness, officials are concerned that the overgrown grass serves as a haven for rodents and various other species, and as a breeding ground for mosquitoes (see No splendor in the grass of foreclosed properties).
The Miami Herald recently reported the story of the problems in one older Miami-area community, made up largely of long-time, working class and low-income residents, many of whom who are being forced to move from their homes of many years due, in large part, to the subprime mortgage paperwork that they signed without fully understanding (see Foreclosures soar in South Florida, and see also, Foreclosures Are Rising, Hurting The Poor (CBS4 - Miami, FL).
The Denver Post reported on a 100-villa, Aurora, Colorado community that is actually making a comeback from being devastated by mortgage fraud and mass foreclosures two years ago by a group of ex-convicts who turned the community "into their personal cash drawer, buying homes for inflated prices, obtaining 100 percent loans from distant lenders and splitting the excess proceeds." (see Villas close on better future).
For more, see States, Uncle Sam Combating Identity Theft.
Go here for Consumers Union's detailed list of state laws related to data privacy (includes links to individual laws and instructions on how consumers can file a credit freeze).
Go here for list of pending legislation on "credit freezes."
For more, see Ads to tell borrowers about option plans.
For more, see WaMu lays off 120 in Dublin.
Included in the story are references to foreclosure rescue operator D and D Home Loans and owner W. Michael Robinson, of Virginia (referred to here in a prior blog post), and Real Estate Investor's Advantage (REIA), a reportedly now-defunct Fort Washington, Maryland outfit run by Nathaniel X. Arnold, who recruited "individuals with good credit to be both door knockers and bird dogs in these transactions. In return, they would be paid a flat fee or a cut of the profits." To become part of this group, individuals would attend an REIA seminar (and pay a fee of $1,995).
For more, see The Foreclosure "Rescue" Racket (As soon as a lender raises the red flag, scammers descend. Here's how they wind up holding the deed).
For more, see Foreclosures soar in South Florida.
See also, Foreclosures Are Rising, Hurting The Poor (CBS4 - Miami, FL).
For more, see Housing Collapse Squishes Bear.
For all the details, see Former Houston Oiler accused in fraud case.
See also, Former NFL star Sean Jones indicted on fraud charges.
For copy of grand jury indictment, see USA vs. Karam, Jones, et al.
Over 60 animals were found in a home that was believed lost in foreclosure by the former owners.
For more, see Couple faces numerous animal cruelty charges.
Go here for more on pets and foreclosures.
For more, see Authorities discover 60 abandoned cats in house.
Go here for more on pets and foreclosures.
Go here for other posts on this subject.
To date, only four arrests have been made (all from Still River Home Maintenance in New York); the rest will have hearings that may result in fines of $2,000, and possible arrest if they decline to appear. For more, see Four Arrested; Others To Get Fined In Home Improvement Sting.
Go here to watch Channel 30 TV report (by reporter Doug Greene).