The Massachusetts Attorney General, Martha Coakley, has filed a lawsuit against several banks and MERS “for the banks’ unlawful and deceptive conduct in the foreclosure process, including unlawful foreclosures, false documentation and robo-signing, MERS [mortgage electronic registration systems], and deceptive practices related to loan modifications,” according to a news release on December 1, 2011.
The Attorney General alleges the Attorney General alleges these five entities engaged in unfair and deceptive trade practices in violation of Massachusetts’ law by:
- Pervasive use of fraudulent documentation in the foreclosure process, including so-called “robo-signing”;
- Foreclosing without holding the actual mortgage (“Ibanez” violations);
- Corrupting Massachusetts’ land recording system through the use of MERS;
- Failing to uphold loan modification promises to Massachusetts homeowners.”
This quote was taken directly from the AG’s website at http://www.mass.gov/ago/news-and-updates/press-releases/2011/five-national-banks-sued-by-ag-coakley.html (last visited December 5, 2011). More details about the lawsuit can be found here.