Firm is under investigation for alleged fraudulent signatures on deeds
Freddie Mac has instructed its mortgage servicers to stop referring foreclosure cases to Shapiro & Burson, the Virginia law firm accused of improper handling of more than 1,000 deeds for Maryland homes in foreclosure, the mortgage giant reported this week.
Prosecutors in Prince George’s County began investigating the firm in March after a paralegal formerly employed there filed a complaint alleging that deeds and foreclosure paperwork contained fraudulent signatures.
Freddie Mac, one of the two huge mortgage companies that buys loans and mortgage securities, removed Shapiro & Burson from its Maryland designated counsel list during an update this week. The law firm’s Virginia Beach location is still listed on Freddie Mac’s Virginia list, but the firm was suspended from taking on any new Virginia foreclosure cases after March 23, a Freddie Mac spokesman said.
The spokesman, Brad German, called the decision “mutual” and said he could not comment on whether the ongoing investigation by the Prince George’s County state’s attorney’s office played a role. But Jose Portillo, the former Shapiro & Burson paralegal who complained to state officials, said Freddie Mac contacted him in March to hear his allegations.
Shapiro & Burson was one of just two firms Freddie Mac had recommended in Maryland. This week, in addition to dropping Shapiro & Burson, the financier added three more firms to the list.
“We are working with the firm on the orderly recovery and transfer of open Maryland cases and files to other law firms,” German said in an email Thursday. “Servicers were also instructed to stop referring any new Freddie Mac foreclosure or bankruptcy cases to the firm.
Check out the rest here…
No comments:
Post a Comment