Welcome to The Home Equity Theft Reporter, a blog dedicated to informing the consumer public and the legal profession about Home Equity Theft issues. This blog will consist of information describing the various forms of Home Equity Theft and links to news reports & other informational sources from throughout the country about the victims of Home Equity Theft and what government authorities and others are doing about it.
Thursday, April 28, 2016
Co-Op Buyer's Lawsuit: Online Scammers Hacked Into My Lawyer's Unsecure Email System, Then Used Information From Pilfered Communications To Hijack My $2 Million Purchase Deposit
In New York City, the New York Post reports:
A former Lehman Brothers executive unwittingly wired a $2 million deposit for a $20 million Manhattan apartment to cyber criminals — and now he’s blaming his real estate attorney and her vulnerable AOL email address for the breach.
Robert Millard, who was a managing director at Lehman and now runs the private investment firm Realm Partners, and his wife Bethany Millard hired Long Island lawyer Patricia Doran to help them buy a co-op last year.
While in contract, Doran’s email was hacked and the cyber criminals intercepted communications about the purchase, according to the Millards’ Manhattan civil suit.
Posing as Doran the hackers sent the Millards wire transfer instructions to a bank that purportedly belonged to the seller. They wired $1.938 million to the TD Bank account.
Doran received a confirmation email from the “sellers’ attorney” that she forwarded to her clients, yet no one noticed that the lawyer’s name was spelled incorrectly, the suit says.
TD Bank discovered the breach and Millards was eventually able to recover all but $200,000 of his deposit, the suit says. They blames Doran for the debacle, saying she didn’t use a “two factor identification” system to protect her email or switch to a more secure provider.
They’re suing to recoup the $200,000 plus additional damages.
CBC News: Betrayal of Trust (A CBC investigation reveals how lawyers across Canada have misappropriated and mishandled clients money, to the tune of tens of millions of dollars, or sometimes even charging vulnerable people top dollar for shoddy services)
Land Contract/Contract For Deed/Rent-To-Own Rackets
The New York Times: The Housing Trap (In the wake of the housing crisis, low-income families have turned to seller financing to buy homes but these deals can be a money trap)
Beware The Fine Print: Consumers Forced To Sign Away Their Rights To Use Court System
The NY Times: Arbitration Everywhere, Stacking the Deck of Justice(Part 1 in series examining how clauses buried in tens of millions of contracts have deprived Americans of one of their most fundamental constitutional rights: their day in court)
Foreclosure Mills' Abysmal Record In Complying With New NYS Foreclosure Requirements
Justice Deceived: How Large Foreclosure Firms Subvert State Regulations Protecting Homeowners
MFY Legal Services Report On Questionable Practices By Process Servers In Debt Collection Cases
Justice Disserved: A Preliminary Analysis of the Exceptionally
Low Appearance Rate by Defendants in Lawsuits Filed in the Civil Court of the City of New York
Mortgage Mess Redux: Robo-Signers Return (A Reuters investigation finds that many banks are still employing the controversial foreclosure practices that sparked a major outcry last year)
CNN Video: As Foreclosures Mount, Florida Court Turns To 'Rocket Docket'
The Wall Street Journal: A Florida Court's 'Rocket Docket' Blasts Through Foreclosure Cases (2 Questions, 15 Seconds, 45 Days to Get Out; 'What's to Talk About?' Says a Judge)
"Produce The Note" Strategy When Dealing With Missing Promissory Notes In Foreclosure Actions
ABC Video: Fighting Against Foreclosure (Some homeowners have found a new tactic to keep the banks at bay)
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