Missouri AG Launches "Operation Stealing Home" - Targets Foreclosure Rescue Scams, Predatory Lenders; Seeks To Void Deeds, Obtain Victim Restitution

From the Missouri Attorney General's Office:

• Attorney General Jay Nixon is taking legal action to stop those who are preying on Missouri homeowners left vulnerable to mortgage fraud because they are facing foreclosure or other financial difficulties. Nixon today launched Operation Stealing Home by filing seven lawsuits [...] aimed at individuals and businesses Nixon said had defrauded consumers through refinancing, advance fee and foreclosure consulting scams.

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• Four of the defendants(1) operate what Nixon termed "foreclosure rescue scams." [...] The companies [...] convince the homeowners to deed their property over and rent it back from the company so they can still live in the home, on the premise that the rent goes to make the mortgage payment, plus a modest profit for the company. Unfortunately, the homeowners discover that the companies are not using their rent payments to make mortgage payments, causing the lenders to initiate foreclosure proceedings.

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• Nixon is asking the courts to void the deeds the companies illegally obtained; to award restitution to consumers who suffered losses; to impose appropriate penalties; and to issue injunctions to prohibit the defendants from future violations of Missouri consumer protection laws.

For more, see Operation Stealing Home: Nixon goes after mortgage fraud targeting those facing foreclosure or other financial woes.

(1) According to the Missouri AG press release, four of the lawsuits targeted foreclosure rescue firms and were filed against: (I) St. Anthony Avenue LC, based in St. Louis County; (II) Private Funding Solutions, based in St. Charles, and its president, Mike C. Rothweiler; (III) Brian J. Thompson, of Springfield, who does business as "All Decked Out"; and (IV) Access Mortgage and Financial Corp., of Lansing, Mich., and its agents, David Snyder and Josh Nowell. This lawsuit was filed in Henry County.