Tuesday, September 28, 2010

North Carolina, Colorado Join List Of State AGs Seeking Stoppage Of Ally/GMAC Foreclosures

Bloomberg News reports:
  • Ally Financial Inc., the lender that stopped evictions in 23 states amid concern that its foreclosure process may be illegal, was asked by Colorado’s attorney general to extend the freeze by its GMAC Mortgage unit to his state.

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  • North Carolina sent a similar letter to Ally yesterday. “The use of unverified affidavits to obtain judicial relief could constitute a fraud upon the court,” North Carolina Assistant Attorney General Philip Lehman wrote in a Sept. 27 letter to Ally General Counsel William B. Solomon Jr.

For more, see Ally Asked to Halt Colorado Evictions as Foreclosure Legality Questioned.