Reminder to all Realtors: Be aware; Be Watchful and be Informed:
Fraud and Scams are on the Rise: Be willing to go the extra mile to protect the public:
Too Close for Comfort?
Part II
A Realtor’s reminder: Be aware of the many Mortgage Fraud and Foreclosure Scams (out there): Such as;
· Predatory lending
· Unfair business practices in originating loans
· Deceptive marketing
· Loan Modification and foreclosure consultant scams.
Taking advantage of distressed homeowners in tough economic times is unethical, possible illegal and shows the dark side of human behavior. As Realtors, we must be committed and obligated to learn from this, and be determined to do better.
Attorney General Kamala D. Harris is committed to setting a high bar for other states and is reaching out to protect, respect, help and inform the homeowners from becoming victimized.
AG Mortgage Fraud Strike Force Created
DOJ, California Attorney General Kamala D. Harris saw the need to create the Attorney General Mortgage Fraud Strike Force, staffed by Department of Justice attorneys and investigators charged with protecting innocent homeowners and bring to justice those who defraud them.
The Mortgage Fraud Strike Force will monitor and prosecute violations at every step of the mortgage process, from the origination of mortgage loans to the marketing of mortgage-backed securities to the investing public. According to Attorney General Harris, “Californians in search of the American dream all too often found a protracted personal and legal nightmare. Families are losing their homes, while those who perpetrated crimes and frauds against them walk free.”
August, 2011: Attorney General Harris’ Press Release, August, 2011 revealed the first consumer action by the Attorney General Mortgage Fraud Strike Force.
Attorney General Kamala D. Harris sues law firms engaged in national “mass Joinder” Mortgage Fraud.
Urgent Read: The Press Release reads as follows:
“Attorney General Kamala D. Harris announced that the California Department of Justice, in conjunction with the State Bar of California, has sued multiple entities accused of fraudulently taking millions of dollars from thousands of homeowners who were led to believe they would receive relief on their mortgages.”
Attorney General sued Phillip Kramer, the Law offices of Kramer & Kaslow, two other law firms, three other lawyers, and 14 other defendants who are accused of working together to defraud homeowners across the country through the deceptive marketing of “mass joinder” lawsuits. “Mass joinder” lawsuits are lawsuits with hundreds, or more, individually named plaintiffs.
Defendants fraudulently promised to win prompt mortgage relief for millions of vulnerable homeowners across the country, said Attorney General Harris, “Innocent people, already battered by the housing crisis, were targeted for fraud in their moment of distress.”
Defendants’ alleged misconduct violates the following laws:
· False advertising, in violation of section 17500 of the Business and Professions Code
· Unfair, fraudulent and unlawful business practices, in violation of section 17200 of the Business and Professions Code.
· Business and Professions Code
· Unlawful running and capping, in violation of section 6162, subdivision (a) of the Business and Professions Code (i.e., a lawyer unlawfully paying a non lawyer to solicit or procure business)
· Improper fee splitting (defendants unlawfully splitting legal fees with non attorneys)
· Failing to register with the Department of Justice as a telephone seller.
DOJ working in conjunction with State Bar of California’s work has resulted in the following:
As a result, the DOJ has seized the practices of the following non-attorney defendants:
1. Attorneys Processing Center, LLC; Data Management, LLC; Gary DiGirolamo; Bill Stephenson; Mitigation Professionals, LLC; Glen Reneau; Pate Marier & Associates, Inc.; James Pate; Ryan Marier; Home Retention Division; Michael Tapia; Lewis Marketing Corp.; Clarence Butt; and Thomas Phanco.
2. The State Bar has seized the practices and attorney accounts of the attorney defendants: The Law Offices of Kramer & Kaslow; Phillip Kramer, Esq.; Mitchell J. Stein & Associates; Mitchell Stein, Esq.; Christopher Van Son, Esq.; Mesa Law Group Corp.; and Paul Petersen, Esq.
DOJ, Attorney General Kamala Harris has reported consumer fraud prevention is a top priority. In response, the Attorney General Harris is taking action against companies engaged in unlawful activities, obtaining injunctions to shut them down, and recovering millions of dollars in restitution for victimized consumers.
I believe these reports of fraud and scams should be a lesson to all Realtors. Although not Attorneys and maybe possibly not directly in the mortgage arena, we can still glean powerful information to help us to “do better,” to “be better.” When we know better we can do better.
Finally, I must admit being informed of these reports encourages me to go above and beyond the call of duty- to become more educated and informed- to be willing to practice at a higher level of being a better professional- exercising legal and ethical behavior as a Realtor.
Making an Impact: In addition to networking and reaching out to share ideas and information with colleagues (I believe) makes a powerful impact. In the end, Realtors will experience the power of working together. Working together provides a better protection for our clients/customers and public.
What say you? What are you willing to share to make us better Realtors?
Hollywood Homes by MC
MC Griffin Campbell, Broker License #: 01819507
Short Sales and Foreclosure Resource (SFR) Certification
Seniors Real Estate Specialist Designation (SRES); MFT, M.Div.
323-382-4364: 323-464-5431
www.hollywoodhomesbymcampbell.com
email: hollywoodhomesmc@aol.com
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