Archive for the ‘scam’ category

Attorneys Investigated, Several Resign for Loan Modification Malpractice in California

November 19, 2009

At least sixteen attorneys are under investigation by the California State Bar for misdeeds related to their loan modification practices. Under California state law signed by Governor Arnold Schwarzenegger on October 11th, 2009, attorneys are prohibited from receiving advanced fees for services rendered related to residential loan modification. The bill, SB 94, has been violated by multiple California attorneys, many of whom have already been disbarred.
Some of these attorneys investigated or suspended include:

•    Sean Routledge of the United Law Group of Irvine, who was charged with seven counts of misconduct after receiving a $3,500 loan modification fee upfront.
•    Jeffery Nemerofsky, who was investigated for charging loan modification fees without providing services. He resigned on October 16th.
•    Ronald Rodis of Newport Beach Rodis Law Group resigned October 13th for loan modification misdeeds.
•    James Parsa, a loan modification attorney, was investigated for questionable marketing techniques. Parsa was forced to resign after 2 convictions of statutory rape with an underage girl were uncovered that were previously unreported to the California Bar.

Maryland Woman Receives 12-year Sentence for Loan Modification Scam

November 18, 2009

Joy Jackson Fordham, a Lanham, Maryland woman accused of scamming 117 victims out of their savings in a loan modification scam, has received over 12 years in prison for her crimes. The sentence aims to serve as a warning for loan modification companies conducting similar practices to Fordham’s Metropolitan Money Store.

U.S. District Judge Roger W. Titus sentenced Fordham, a former exotic dancer, to 151 months in prison followed by five years probation and supervised release for falsely promising to help borrowers facing foreclosure to keep their homes and repair damage to their credit. Fordham submitted fraudulent paperwork for over $37 million in loans she never intended to repay. Instead, she spent the money on expensive fur coats, jewelry, and a lavish wedding at the Mayflower Hotel, where Patti LaBelle performed.

Fordham was not licensed to provide credit repair, and as a result she caused dozens of people to lose their homes, including an Annapolis family who was forced to live in their car and visit soup kitchens after their home was foreclosed.

Providing unlicensed services to vulnerable individuals is illegal and immoral. Why anyone would trust a so-called “money store” with their life’s savings is unimaginable. To avoid scams such as this one, homeowners should only trust licensed companies or law entities knowledgeable in real estate transaction law.

<– Joy Jackson Fordham at her Mayflower Hotel wedding, paid for from funds she scammed from vulnerable mortgage holders. To read more about the story, click here.


Follow

Get every new post delivered to your Inbox.