Ex-TV News Anchor Says Loan Mod Racket Ruined His Reputation, Stiffed Him On Infomercial Fee After Promises To Homeowners In Foreclosure Were Broken

In Houston, Texas, KRIV-TV Channel 26 reports:

• [H]omeowners Legal Assistance, also known as Delgado and Associates, was featured on infomercials on Spanish television. The advertisements featured Antonio Hernandez, a veteran Houston news anchor, as well as a money back guarantee. "It looked very credible on the surface and it wasn't," said attorney J.C.Castillo. [Homeowner Jose] Valladares paid the business $3,000.

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• When Valladares and other unhappy customers returned to the southwest side office building, the business was gone. "When all these complaints started coming in from everywhere, that's when they decided boom, it disappeared," said Castillo.

• If losing their money and or their homes wasn't enough, some customers had bankruptcy filings they say they knew nothing about. Those filings were apparently done to stop their foreclosures. "That's obviously fraud on the bankruptcy court and fraud on the homeowners when that was being done," said Castillo. Court documents state one of the business' employees filed numerous bankruptcy cases for customers and in the process violated several provisions of the bankruptcy code. "Everything fell apart and everybody started pointing fingers at each other," said Castillo.

• Business owner Arnold Gonzales and hundreds of thousands of dollars are nowhere to be found, according to court testimony. The bankruptcy court tried six times to serve Gonzales with a subpoena to testify. "We know that Arnold Gonzales disappeared and nobody seems to know where he's at," said Castillo.

• Former television news anchor Antonio Hernandez told FOX 26 Investigates Gonzales owes him money for appearing in the commercials. He also accuses the business of ruining his reputation and plans to sue. Castillo estimates a thousand or more homeowners may have been ripped off by the business. [...] A criminal investigation is now underway.

For the story, see Unkept Promises For Homeowners Facing Foreclosure.