Buffalo Mayor Vows Action On Foreclosing Lenders Who Saddle City With Demolition Costs On Vacant Homes; Announces Suit Against 36 Banks To Recover $2M

In Buffalo, New York, The Buffalo News reports on Mayor Byron W. Brown and his State of the City speech last Thursday. Buried in the story is this highlight from the mayor's speech:

• A crackdown on banks that hold mortgages on vacant properties that are in foreclosure and saddle the city with demolition costs and other expenses. Brown said the city filed a lawsuit Thursday seeking to recover up to $2 million in costs from 36 banks that have mortgages on 57 properties.

For the entire story, see Mayor Brown paints the picture of a city on the upswing ($4.5 billion in projects completed or now under way).

To view Buffalo's lawsuit against a host of lenders on account of the blight caused by the abandoned houses in foreclosure, see City of Buffalo v. ABN Amro Mortgage Group Inc., et al. (3.67 MB; available online courtesy of the law firm Skadden, Arps, Slate, Meagher & Flom LLP). If there's a problem with this link, email me at HomeEquityTheft@yahoo.com and I'll email it to you (please put "City of Buffalo v. ABN Amro" in the subject line).

Go here for other posts on the City of Buffalo lawsuit against lenders abandoning foreclosed properties.