Recently a 7.5 Billion Dollar class action law suit was filed against a Florida foreclosure firm alleging that they particpated in fraud when filing thousands of foreclosures in the State of Florida. To read the complaint, click here:
http://mattweidnerlaw.com/blog/wp-content/uploads/2010/07/sternclassaction.pdf
The Defendant Firm's attorneys primarily represent plaintiffs in foreclosure actions. Based upon statements by its owner and co-Defendant, David J. Stern, the Defendant Firm in 2008 and 2009 filed between 4000 and 7000 new foreclosure actions in the State of Florida per month. Beginning in or about 1999, the Defendant Firm joined with Defendant Merscorp, Inc., and other conspirators in the fraudulent scheme and RICO enterprise herein complained of. The employees of the Defendant Firm, including many licensed attorneys, have become skilled in using the artifice of MERS to sabotage the judicial process to the detriment of borrowers, and, over the past several years, have routinely relied upon MERS to do just that.
As Stern boasted to a room of investors at a recent promotional event, recent "direct source initiatives" by the larger lenders increasingly enable the Defendant Firm, DJSP, and other entities recently formed by Stern to take mortgages "from cradle to the grave."
One of the entities named in the class action suit is DJSP ENTERPRISES. The entity (DJSP Enterprises) "went public" at some time in the recent past (Jan 2010), resulting in substantial profits to David J. Stern. While it purports to function through one or more "subsidiaries," its telephone number is the same as the one listed for the Defendant Firm. David J. Stern, through these and other "spin-off" entities, has made hundreds of millions of dollars fraudulently subverting the judicial process and the constitutional safeguards designed to protect the rights of litigants so as to manufacture a foreclosure and foreclosure-litigation industry which simply drives the hapless citizens in his path to cycle after cycle of impossible loan and inevitable foreclosure.
Paragraph 7 of the complaint begs the court:
This Court is urged in the strongest possible way to apply a presumption of FALSITY when reviewing any documentary evidence filed in this Court by one or more of the Defendants. Such a presumption is not just warranted; it is indeed compelled by the extent to which the Defendants and those with which they are associated have long acted in a malicious and wanton manner evincing complete contempt for the judicial process and the rights of persons having interests contrary to their own. This is particularly true because the Defendants' contempt for due process is compounded by their specific intention to obviate the requirement that documents prepared for legal use be truthful, authentic, and legitimate.
While this case has been filed in Florida it could well reach all corners of the nation. We must remember that Florida is not the only state in which MERS is named as a nominee in the Deed of Trust document. We must also remember that most large lending institutions, including Fannie Mae, Freddie Mac and others have adopted the "Cradle to Grave" concept.
As I have written on numerous occasions, there is just too much opportunity for issues relating to foreclosure to be missed when you rely upon the seller's foreclosure attorney and their title agencies to handle that transfer for you on that property you just bough out of foreclosure.
I do not intent to imply that all foreclosure mills have participated in the type fraud alleged in the complaint filed against Stern and his subsidiary entities, however, I do recall seeing a notice issued by Fannie Mae some months ago wherein they stated that MERS was no longer to be named in any foreclosure actions and that assignments out of MERS were to be completed IN ADVANCE of the filing of the Notice of Intent to Foreclose. What does that say about those case that have already been filed nationwide where MERS was named in the foreclosure action? I am sure that we will hear more about this case and I am equally as sure that there will be more class action suits filed nationwide alleging the same type fraud by foreclosure mills in every state in the nation.
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