Homeowner's Foreclosure Defense: Developer Hijacked Title To My Home While I Was Out Of The Country, Borrowed $1.77M Against It, Now Bank Is Trying To Take It From Me! Developer's Head Allegedly Invoked 5th Amendment

In Miami, Florida, the South Florida Business Journal reports:

• A Miami-based bank is trying to seize Jorge Jaen’s home in the Florida Keys over a mortgage that he never signed.
  
  Jaen alleges that both he and Great Eastern Bank of Florida were victims of mortgage fraud, but he’s the one who could pay the price by losing his home in Plantation Key. The foreclosure lawsuit is set for trial April 1 in Miami-Dade Circuit Court.
  
  It all started in 2006 when the three-bedroom home, at 145 Venetian Way, was transferred for minimal monetary compensation by a quit-claim deed from Jaen to Remy Development of Florida. Jaen claimed in his motion to dismiss the complaint that he had no knowledge of the deed and it was a bogus.
  
  Jaen says it is not his real signature on the deed and he was out of the country at the time it was signed in Miami-Dade.
  
  Jaen’s motion cites testimony from attorney Raven Liberty and Leighton Brown, the two people who allegedly signed the deed as witnesses, saying they did see the first version of that deed, which was destroyed, but never saw the second version that was filed wit the court.
  
  Although Monroe County valued the home at $483,500 at the time the deed was filed, Great Eastern Bank gave Remy Development a $1.77 million mortgage, which was signed by Ramier Rodriguez on behalf of the developer.
  
  According to records uncovered in the lawsuit, the loan was for the construction of a low-income housing complex. The home was in the middle of a neighborhood of single-family homes with a tight lot line.
  
  “Due to the ‘development,’ Remy convinced [the] bank to tender millions of dollars in construction draws for work that Remy represented had been completed by Remy when, in fact, no such development had occurred,” stated the motion by Jaen, which was filed by his attorney, Geoffrey Ittleman in Fort Lauderdale.
  
  The head of Remy Development invoked the Fifth Amendment against self-incrimination at his deposition, Jaen’s complaint stated. The bank did not name Rodriguez in the lawsuit.
  
  The foreclosure lawsuit, filed in 2007, names Remy Development and Jaen. Monroe County property records still list Jaen as the homeowner, as he has been since 1992.
  
  Great Eastern Bank’s lawsuit also names title law firm Catlin, Saxon, Fink & Kolski LLP, which allegedly oversaw the transaction with Remy Development.
  
  Jaen wants the court to invalidate the deed to Remy Development and dismiss the bank’s attempt to foreclosure on the property. If he succeeds, it could be a big problem for Great Eastern Bank, the smallest bank in Miami-Dade, with $45.8 million in assets.
  
  Great Eastern Bank had $293,000 in noncurrent loans on Dec. 31, and that valuation is probably based on assuming that it can seize Jaen’s house and get some value from it. If it gets nothing from the lawsuit, the resulting write off in value could eat into its $5 million in Tier 1 capital.
  
  Great Eastern Bank was hit with a regulatory enforcement action in 2012, telling it to maintain higher capital ratios than normal and citing it for Bank Secrecy Act/anti-money laundering violations.
  
  Hollywood attorney Carlos Lerman, who represents Great Eastern Bank in the lawsuit, could not immediately be reached for comment.

For the story, see Homeowner takes bank to trial to avoid foreclosure over mortgage he didn’t sign.