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Michigan AG Issues Criminal Subpoenas Against Mortgage Processors

""Michigan Attorney General Bill Schuette"":http://www.michigan.gov/ag/ issued criminal investigative subpoenas this week against several third-party firms that provide support to national mortgage servicers.

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The move is part of the Office of the Attorney General's investigation into questionable mortgage documentation filed with the state's Register of Deeds offices during the current foreclosure crisis.

""Allegations of forged mortgage documents are very serious and require a thorough investigation,"" said

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Schuette. ""I will continue to work closely with federal and local authorities to find answers on behalf of Michigan homeowners.""

Schuette's office filed criminal investigative subpoenas against DocX, which provides mortgage support and mortgage assignment services, as well as companies affiliated with DocX, including Lender Processing Services, Inc.; Fidelity National Financial, Inc.; and CT Corporation System.

Schuette's office requested documents regarding the mortgage processing companies' operations related to foreclosure and bankruptcy-related document processing.

In April, Schuette launched an investigation into whether mortgage processing companies permitted robo-signing of legal documents filed in connection with Michigan foreclosures. Although Michigan is a non-judicial foreclosure state, Schuette will review whether robo-signed documents were filed with courts in limited cases.

Schuette also continues to work with attorneys general in a national workgroup examining mortgage lending practices, including the robo-signing issue and consumer protection concerns affecting homeowners nationwide.

About Author: Heather Cernoch

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