Supreme Court judge goes after HSBC over shoddy foreclosure filing

TRD New York /
Jul.July 06, 2011 09:02 AM

A Brooklyn Supreme Court judge has ordered the head of HSBC North America, Irene Dorner, to appear in court July 15 and explain why America’s ninth-largest bank should not be penalized for submitting false documents in a foreclosure case, the New York Daily News reported.

In a decision issued Friday, Justice Arthur Schack dismissed the bank’s case against Bedford-Stuyvesant resident Ellen Tahrer as a “frivolous motion” and a “waste of judicial resources,” after it failed to prove that it even owned the $475,000 mortgage on the defendant’s home. Documents submitted were all signed by “robo-signers,” Schack said, and were “replete with false statements.”

In 2010, Chief Judge Jonathan Lippman introduced new regulations to clamp down on shoddy foreclosure filings and Schack has become somewhat of a folk hero amongst homeowners for staying faithful to those rules, the Daily News said.

“We cannot allow the courts… to stand by idly and be party to what we now know is a deeply flawed process, especially when that process involves basic human needs — such as a family home,” Lippman said.

HSBC spokesperson Neil Brazil said the bank was “reviewing the court papers.” It’s role, he said, “was limited to that of a trustee for an investment vehicle in mortgages. [The bank] did not service this loan and neither prepared or filed any of the legal documents presented to the court.” [NYDN]


Related Articles

arrow_forward_ios
Nationwide foreclosures are at a 15-year low (Credit: iStock)

Foreclosures nationwide fell to 15-year low in 2019

494 Broadway and Thor Equities' Joe Sitt (Credit: Google Maps)

Thor faces foreclosure on site where lender says it’s seeking “unrealistic rents”

Maefield Development's Mark Siffin and 20 Times Square (Credit: Maefield)

Lender forecloses on Maefield’s billion-dollar Times Square project

Thor Equities' Joe Sitt and 725 8th Avenue (Credit: Google Maps)

Thor facing foreclosure at Theater District building

Home foreclosures dropped nearly 20% in Q3, report shows

Home foreclosures dropped nearly 20% in Q3, report shows

Manhattan’s 10019 zip code, which covers Midtown, Times Square, Herald Square and Midtown South, saw the most foreclosures in the borough with eight. (Credit: iStock)

Manhattan foreclosures soar 118%, driven by mortgage defaults

Clockwise from left: a rendering of the Greenpoint at 21 and 23 India Street in Greenpoint, a rendering of the Tangram project at 133-27 39th Avenue in Flushing, and 564 St. John’s Place in Crown Heights (Credit: StreetEasy)

These were the top 10 outer borough loans last month

200 East 83rd Street and Miki Naftali (Credit: Google Maps) 

Naftali Group lands $176M for (another) Upper East side project

arrow_forward_ios
Loading...