Home -> Law Blog Directory -> Consumer Law Blogs -> CL&P Blog

OR PHONE (866) 635-1838 for Bankruptcy Help, (866) 635-6190 for Divorce,
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense

Find a Local Lawyer

Bankruptcy (866) 635-1838
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402

Consumer Law

: CL&P Blog

California Sues Loan Modification Companies

By Brian Wolfman

ADVERTISEMENTS

by Brian Wolfman

I blogged here on Monday about the National Consumer Law Center's recent report on the growing loan modification scam industry. Yesterday, the California Attorney General sued 21 individuals and 14 loan modification companies, alleging that they take desperate homeowners' money but provide them no mortgage relief. Here's the beginning of the AG's press release:

As part of a massive federal-state crackdown on loan modification scams, Attorney General Edmund G. Brown Jr. at a press conference today announced the filing of legal action against 21 individuals and 14 companies who ripped off thousands of homeowners desperately seeking mortgage relief. Brown is demanding millions in civil penalties, restitution for victims and permanent injunctions to keep the companies and defendants from offering mortgage-relief services. "The loan modification industry is teeming with confidence men and charlatans, who rip off desperate homeowners facing foreclosure," Brown said. "Despite firm promises and money-back guarantees, these scam artists pocketed thousands of dollars from each victim and didn't provide an ounce of relief."

Read the entire press release here. Thanks to California consumer advocate Ted Mermin for bringing this to my attention.

Full post as published by CL&P Blog on July 16, 2009 (boomark / email).