Tuesday, March 22, 2016

Michigan AG Hits Foreclosure Rescue Operator w/ 35 Felony Charges For Allegedly Clipping Financially Distressed Homeowners w/ Phony Loan Modification Racket, Credit Card Debt Management Service

From the Office of the Michigan Attorney General:
  • Michigan Attorney General Bill Schuette [] announced that his Homeowner Protection Unit has filed thirty-five felony charges against Pasquale Longordo, 39, of Birmingham, and his company Modify Loan Experts, LLC, for allegedly stealing money from Michigan residents who were facing mortgage foreclosures or needed help managing their credit card debt. Longordo also faces an additional three misdemeanor charges.

    "People who abuse the trust of their clients during a vulnerable time, for their own personal benefit, will be held accountable for their actions,” said Schuette. “I applaud the work of my Homeowner’s Protection Unit for the diligence of their investigation and hope that this case can bring some relief for his victims.”
    ***
    Longordo and Modify Loan Experts allegedly promised victims that they would have an attorney assigned to represent them and negotiate mortgage modifications on their behalf with mortgage companies. However, this did not happen and many victims lost their homes as a result.

    Additionally, Longordo, who also operated a credit card debt management service, allegedly told debt management victims he was putting their funds into an escrow account and that he would use the payments to negotiate their debt with credit card companies. In reality, Longordo put the victims’ funds into a regular bank account and allegedly used that account like his personal ATM.

    During this time, Longordo allegedly received unemployment compensation although he was ineligible, and he failed to file taxes for several of his companies.

    Foreclosure Rescue Scam Victim Restitution Fund

    In August 2013, Schuette announced the launch of a $7.5 million Foreclosure Rescue Scam Victim Restitution fund as a part of the Homeowner Protection Fund monies received by the State of Michigan to resolve the National Mortgage Settlement. This program is intended to provide restitution payments for victims of foreclosure scams who would otherwise never see a penny of court-ordered restitution.

    For more information on the mortgage settlement, including a consumer alert and a Frequently Asked Questions document available for download on the Attorney General’s website.

    In addition to operating Modify Loan Experts, Longordo operated under the company names Modify Debt Experts LLC, Experts LLC, Modify Credit Experts, and DLC Group.

    Citizens who believe they may have been victims of Pasquale Longordo and/or Modify Loan Experts or any of his other companies are encouraged to file complaints with the Attorney General's Office.

Links to this post:

Create a Link

<< Home