Texas attorney general suspends foreclosures statewide


by KVUE News


Posted on October 5, 2010 at 5:14 PM

The foreclosure controversy has come to Texas.

Tuesday Texas Attorney General Greg Abbott called on 30 mortgage lenders to suspend foreclosures across the state. His office is questioning the accuracy of foreclosure documents. Abbott is giving those companies until Oct. 15 to identify any employees who took part in what he calls "robo-signing."

Some workers may have signed thousands of foreclosure documents a month, without reading them. He wants to be sure foreclosures were not approved by mistake, or worse.

"The reason we have made this demand is because serious allegations have arisen in Texas and across the nation that fraudulent practices were used in order to obtain foreclosure proceedings," Abbott said.

Similar Forclosure investigations are underway in 23 other states.

The 30 companies involved:

American Home Mortgage Servicing, Inc.
American General Finance, Inc.
AmTrust Mortgage Corporation
Aurora Loan Servicec, Inc.
Bank of America
Carrington Mortgage Services, LLC
Cenlar, FSB
JP Morgan Chase & Co.
CitiMortgage, Inc.
EMC Mortgage Corporation
First Horizon National Corp.
Ally Financial, Inc./GMAC
Home Loan Services
HomEq Servicing, Inc.
HSBC North America Holdings, Inc.
Litton Loan Servicing, Inc.
MGC Mortgage, Inc.
Midland Mortgage Company
MorEquity, Inc.
National City Mortgage c/o PNC Financial Services Group, Inc.
Nationstar Mortgage Company
Ocwen Loan Servicing, LLC
OneWest Bank Group LLC
PHH Mortgage Services Corporation
Saxon Mortgage Services, Inc.
Select Portfolio Servicing, Inc.
Vanderbilt Mortgage and Finance, Inc.
Washington Mutual
Wells Fargo & Company
Wilshire Credit Corporation