Banks’ plans to fix foreclosure malpractices will remain confidential

New York /
Jul.July 14, 2011 08:33 AM

Bank of America, JPMorgan Chase, Wells Fargo and Citigroup, and some of the nation’s other largest banks, have submitted plans to rectify mortgage servicing operations and halt progress over several months to settle accusations of abuse related to mortgage servicing. Those plans will remain confidential, according to the Office of the Comptroller of the Currency, despite calls from some on Capitol Hill to publish the information, the Wall Street Journal reported.

Each bank was required to hire an independent consultant to review all foreclosure proceedings from 2009 and 2010 to evaluate whether they improperly foreclosed on any homeowners.

Democrats, longtime critics of the OCC’s “too friendly” attitude towards the banks, have concerns about the fairness of the process, the Journal said, and are pushing for the findings of the reviews to be made public.

“There is a loss of credibility by the regulators — specifically by the OCC — that more disclosure would address,” Rep. Brad Miller said. “We’re still at a stage where we have a hope of shaping [the look-back process] to make it tough and appropriately independent.”

Bank regulators previously extended the deadline for the 14 financial institutions to submit plans. Instructions issued in April gave the institutions until mid-June to instigate plans after widespread problems with bank foreclosure processing operations became public last fall. That deadline was then extended to July 13. [WSJ]


Related Articles

arrow_forward_ios
From left: Wells Fargo’s Charles Scharf, SL Green's Marc Holliday, Goldman Sachs’ David Solomon and One Vanderbilt (Getty)
Goldman Sachs, Wells Fargo leading $2.25B refi of One Vanderbilt
Goldman Sachs, Wells Fargo leading $2.25B refi of One Vanderbilt
JPMorgan CEO Jamie Dimon and 270 Park Avenue (Getty, Google Maps)
JPMorgan Chase will embrace “flexible” design for 270 Park HQ
JPMorgan Chase will embrace “flexible” design for 270 Park HQ
David Wolkoff of G&M Realty. (Getty, 5Pointz LIC)
Wolkoff family firm snags $350M loan for 5Pointz
Wolkoff family firm snags $350M loan for 5Pointz
The “flexible hybrid model” is set to debut in July in North America (iStock)
Et tu, Ford? Automaker lets 30K workers stay home post-pandemic
Et tu, Ford? Automaker lets 30K workers stay home post-pandemic
Blackstone's Jonathan Gray (Photos via Twitter;iStock/Photo Illustration by Kevin Rebong for The Real Deal)
Blackstone, LBA Logistics get $944M financing for logistics portfolios
Blackstone, LBA Logistics get $944M financing for logistics portfolios
55-15 Grand Avenue, Queens; Phil A. Belling of LBA Realty; Jamie Dimon of JPMorgan Chase (Getty, RXR/BL Architects)
LBA lands $316M loan for Amazon warehouse in Maspeth
LBA lands $316M loan for Amazon warehouse in Maspeth
The Grace Building at 1114 Sixth Avenue (Photo via Wikipedia Commons)
Here’s what tenants are paying at Brookfield & Swig’s Grace Building
Here’s what tenants are paying at Brookfield & Swig’s Grace Building
 JPMorgan’s Marianne Lake (Getty, iStock)
JPMorgan walks back some mortgage constraints
JPMorgan walks back some mortgage constraints
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...