Tuesday, March 30, 2010

Attorney General Cuomo Slams Nationwide Foreclosure Rescue Scammers

New York Attorney General Andrew M. Cuomo is suing a pair of loan modification companies that he says ran nationwide foreclosure rescue scams. The lawsuits were filed against National Modification Service and its founder Joseph Romano, and Infinity Mitigation Corporation, Infinity Funding Group, and their owner and principal Neil Singer.

According to Cuomo, the companies and their owners prey on homeowners facing foreclosure by claiming that they can save their homes, but often fail to provide the services promised.

"As New Yorkers and others across the country fight to stay afloat in these tough times, we continue to see dishonest companies preying on vulnerable homeowners," said Attorney General Cuomo. "These companies pretend to be reaching out a helping hand, but instead they push consumers further down into debt and, in some cases, into foreclosure."

Cuomo also announced settlement agreements with two companies, ABM Mitigation Corporation , a Ronkonkoma-based loan modification business, and Raymond, Louis & Fitch, a Florida-based loan modification company doing business in New York.

As part of the settlements, both companies will refund fees to all customers who have not obtained a loan modification. ABM will shut down their practices nationwide and RLF will stop doing business in New York State.Both companies illegally charged customers thousands of dollars in up-front fees and failed to provide their customers with contracts as required by law.

No comments:

Post a Comment