|
Defendant
|
Plaintiff
|
Court
|
Amount
|
Overview
|
Case Title |
Case Number
|
Date Filed |
Link to Story |
| Bank of America |
Deutsche Bank AG |
United States District Court for the Southern District of New York |
$1,750,000,000 |
“DB allowed to proceed in its lawsuit against BofA over losses relating to the collapse of Taylor, Bean & Whitaker. DB alleges damages for breach of contract resulting from BOA’s failure to secure and safeguard over $1.25 billion worth of cash and mortgage loans that it was contractually obligated to secure on behalf of DB andcontractual indemnity for the losses |
Deutsche Bank AG v. Bank of America, N.A. |
1:09-CV-09784-UA |
11/25/09 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| Morgan Stanley Capital Holdings LLC |
Central Mortgage Co. |
Supreme Court of Delaware |
n/a |
Supreme Court of Delaware reverses dismissal of claims by mortgage servicer who purchased servicing rights of mortages fron defendant. Loans went bad and plaintiff sued for breach of implied covenant of good faith and fair dealing. |
Central Mortgage Co. v. Morgan Stanley Capital Holdings |
No. 595 |
08/11/11 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| Deutsche Bank AG, Mortgage IT |
United States |
United States District Court for the Southern District of New York |
n/a |
US Attorney sues DB and Mortgage IT alleging defendants lied to government in order to make loans available for FHA insurance, including submitting loans that did not qualify for the type of insurance available from government program. |
United States v. Deutsche Bank AG et al |
11-CV-2976 |
05/03/11 |
www.mortgagedaily.com/mctlawsuitusvmortgageit050311.asp |
| First Guaranty Mortgage Corp. |
Department of Housing and Urban Development |
n/a |
$229,500 |
Settlement reached. |
n/a |
n/a |
n/a |
www.mortgagedaily.com/SettlementFirstGuaranty041911.asp |
| MERS, Inc., Citimortgage, Inc., Cal-Western Reconveyance |
David Ekerson |
United States District Court for the District of Oregon |
n/a |
A federal judge granted a homeowner a temporary restraining order preventing foreclosure of his home because of the defendants’ failure to properly record deed. |
Ekerson v. MERS, Inc. |
11-CV-178-HU |
02/10/11 |
www.mortgagedaily.com/MctForeclosuresOR52911.asp |
| Northwest Trustee Services, Inc., Bank of America, N.A., MERS, Inc. |
Ivan and Katherine Hooker |
United States District Court for the District of Oregon |
n/a |
The defendants’ motion to dismiss was denied and the court granted the plaintiff homeowners declaratory relief that the defendants had not properly recorded the chain of title in compliance with the Oregon non-judicial foreclosure laws. |
Hooker v. Northwest Trustee Servs., Inc. |
10-3111-PA |
10/07/10 |
www.mortgagedaily.com/MctForeclosuresOR52911.asp |
| Old Republic Title Insurance Co. |
Wells Fargo, N.A. |
United States Court of Appeals for the Fourth Circuit |
na |
Wells Fargo appeals decision denying recovery from title insurer for loss on bad loans purchased from Financial Mortgage co (loan originator). Loans purchased by Wells were not properly recorded nor free from prior liens. Fourth Circuit affirmed district court ruling denying recovery to Wells Fargo |
Wells Fargo, N.A. v. Old Republic Title Ins. Co. |
10-187 |
01/21/10 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| BNC Mortgage, Inc., MERS, Inc., US Bank, NA, Finance America, LLC, Lehman Brothers Holdings, Inc., Impact One Mortgage Services. |
Donald E. McCoy, III |
United States Bankruptcy Court for the District of Oregon |
n/a |
McCoy convinced the bankruptcy court that he had been wrongfully foreclosed upon in violation of Oregon non-judicial foreclosure law due to deeds being unrecorded. |
In re McCoy |
10-63814-fra13 |
03/05/10 |
www.mortgagedaily.com/MctForeclosuresOR52911.asp |
| William Garfield Sandison, Ross William Sandison, Curtis Alan Martinson |
United States |
United States District Court District of Minnesota |
$30,000 |
Former chief executive officer of Community National Bank, William Garfield Sandison, was sentenced last month to four months in prison and ordered to pay a $30,000 fine, after reaching a plea agreement in October 2009. Defendant admitted that he fraudulently convinced 20 other banks to join his bank in financing the Ramsey Town Center for $35 million with another $15 million options. |
United States v. Sandison et al. |
n/a |
04/21/09 |
www.mortgagedaily.com/LitigationCriminal061711.asp |
| US Bank, NA |
United States |
n/a |
$1,200,000 |
USB and HUD agreed to a $1.2 million settlement of a case in which HUD alleged violations of FHA underwriting standards on dozens of mortgages and alleged submission of delinquent loans for late endorsement. USB did not admit liability. |
United States v. U.S. Bank, N.A. |
n/a |
n/a |
www.mortgagedaily.com/SettlementHUDUSBank052011.asp |
| Raymond Bowman |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Raymond Bowman was sentenced to 40 months for one count of conspiracy to commit bank, wire and securities fraud, and one count of false statements for his role in a more than $2.9 billion fraud scheme that contributed to the failures of Colonial Bank and Taylor, Bean & Whitacker. |
U.S. v. Bowman |
1:11-cr-118-LMB |
n/a |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp |
| Teresa Kelly |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Teresa Kelly, former operations supervisor for Colonial Bank’s warehouse lending division, pled guilty to knowingly and intentionally placing Colonial Bank and Colonial BancGroup at significant risk by causing them to purchase more than $400 million in assets that had no value. The fraud scheme caused Colonial Bank and Colonial BancGroup to purchase tens of millions of dollars of worthless assets, caused Colonial BancGroup to report false information in its financial statements, and artificially inflated the value of Taylor, Bean & Whitacker’s mortgage servicing rights. |
U.S. v. Kelly |
1:11-cr-119-LMB |
03/16/11 |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp |
| Lee Farkas |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
30-year sentence for Farkas, the former chairman of Taylor, Bean & Whitacker Mortgage Corp., allegedly enabled the sale of $1.5 billion in fictitious and impaired mortgage loans to Colonial Bank. |
United States v. Farkas |
1:15:10-cr-mj-1028 |
06/15/10 |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp www.mortgagedaily.com/taylorbeanconviction042011.asp |
| Catherine L. Kissick |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Kissick sentenced to 8 years for assisting in carrying out a scheme involving $1.5 billion in fraudulent mortgages at Taylor, Bean & Whitacker Mortgage Corp. |
U.S. v. Kissick |
1:11-cr-88-LMB |
n/a |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp, www.mortgagedaily.com/LitigationCriminal061711.asp |
| Paul Allen |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Paul Allen, a former chief executive officer of Taylor, Bean & Whitacker, was sentenced to 40 months for making false statements and conspiring to commit bank and wire fraud. The government claimed that when Allen failed to secure $50 million of $300 million needed to acquire Colonial Bank, Taylor Bean chairman Lee Farkas fraudulently moved $5 million into an escrow account set up in an investor’s name and tried to portray it as a required 10 percent escrow deposit. |
U.S. v. Allen |
1:11-cr-165-LMB |
n/a |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp |
| Sean W. Ragland |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Sean Ragland, a former Taylor, Bean & Whitacker senior financial analyst, sentenced to 3 months for conspiring to commit bank and wire fraud. Ragland reportedly learned of inadequate assets at Taylor Bean subsidiary Ocala Funding to back up commercial paper so he covered up the deficiency by providing false information to financial institution investors, other third parties, and an outside audit firm. |
U.S. v. Ragland |
1:11-cr-162-LMB |
n/a |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp www.mortgagedaily.com/TaylorBeanSentenceCeo062111.asp |
| Desiree Brown |
United States |
United States District Court for the Eastern District of Virginia |
$2,900,000,000 |
Brown sentenced to 72 months for assisting in carrying out a scheme involving $1.5 billion in fraudulent mortgages at Taylor, Bean & Whitacker Mortgage Corp. |
U.S. v. Desiree Brown |
1:11-cr-00084 |
n/a |
www.mortgagedaily.com/LitigationCriminal041211.asp www.mortgagedaily.com/SentenceFarkas063011.asp, www.mortgagedaily.com/TaylorBeanSentences061011.asp |
| Peter Bakowski |
United States |
United States District Court for the Middle District of Florida |
$16,100,000 |
Mortgage broker sentenced to 15 years for mortgage fraud- selling same mortgage to multiple investors promising investors returns of 15-20 percent. |
United States v. Bakowski |
No. 8:09-CR-491-T-33TBM |
10/20/10 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| Eric Murphy Jr. |
State of Maine |
Superior Court for Hancock County |
$358,000 |
Sentenced to 9 years for running investment scam relating to residential construction loans, Murphy has filed a motion for post-conviction review based on ineffective assistence of counsel |
State of Maine v. Murphy |
No. CR131 |
02/15/11 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| Citifinancial Mortgage CO. |
Patrick Cogswell, Patrick O’Flaherty |
United States Court of Appeals for the Seventh Circuit |
n/a |
7th Circuit reverses lower court’s dismissal of suit alleging failure to deliver loan documentation (the note) prohibited proper foreclosure proceedings by plaintiffs. |
Cogsell et al. v. Citifinancial Mortgage Co. |
No. 08-2153 |
10/15/10 |
www.mortgagedaily.com/litigationsecondary051111.asp |
| Radius Capital Corp., Robert A. DiGiorgio |
SEC |
United States District Court for the Middle District of Florida |
Injunctive relief |
The SEC alleges that DiGiorgio and Radius misrepresented to Ginnie Mae and MBS investors that 15 MBS were filled with loans insured by the FHA when they in fact were not FHA-insurable. DiGiorgio disputes allegations in phone interview. |
SEC v. Radius Capital Corp. |
2:11-cv-00116-JES-DNF |
03/07/11 |
www.mortgagedaily.com/LawsuitRadius052711.asp |
| Ally Bank, BAC Home Loans Servicing, L.P., Bank of America Corp., CWALT, Inc., CWHEQ, Inc., CWMBS, Inc., Countrywide Capital Markets, LLC, Countrywide Financial Corp., Countrywide Home Loans Servicings, L.P., Countrywide Home Loans, Inc., Countrywide Securities Corp., GMAC Mortgage LLC, Homecomings Financial, LLC, Angelo Mozilo, NB Holdings Corp., Residential Accredit Loans, Inc., Residential Asset Mortgage Products, Inc., Resdiential Funding Co., LLC, Residential Funding Securities, LLC, David Sambol, |
Thrivent Financial for Lutherans, Thrivent Balanced Fund, Thrivent Balanced Portfolio, Thrivent Bond Index Portfolio, Thrivent Core Bond Fund, Thrivent Financial Defined Benefits Plan Trust, Thrivent Income Fund, Thrivent Life Insurance Co., Thrivent Limited Maturity Bond Fund, Thrivent Limited Maturity Bond Portfolio |
United States District Court for the District of Minnesota |
n/a |
Investors suing countrywide for poor underwriting practices causing securities backed by mortgages to go bad. Defendants removed case to federal court. |
Thrivent Financial for Lutherans et al v. Countrywide Financial Corp et al |
011-cv-01111 |
n/a |
www.mortgagedaily.com/litigationmbs051011.asp |
| Ally Financial, Inc. , Banc of America Funding Corporation , Bank of America Corporation , Bank of America, National Association , Barclays Capital Inc. , Barry J. O’Brien, BCAP LLC , Bear Stearns Asset Backed Securities I LLC , Capital One Financial Corporation , Capital One, National Association , Chevy Chase Funding, LLC , Christopher M. O’Meara, Citicorp Mortgage Securities, Inc. , Citigroup Financial Products, Inc. , Citigroup Global Markets Inc. , Citigroup Global Markets Realty Corp. , Citigroup Inc. , Citigroup Mortgage Loan Trust Inc. , Citimortgage, Inc. , Countrywide Financial Corporation , Countrywide Home Loans, Inc. , Countrywide Securities Corporation , Credit Suisse (USA), Inc. , Credit Suisse First Boston Mortgage Securities Corp. , Credit Suisse Holdings (USA), Inc. , Credit Suisse Securities (USA) LLC , CWALT, Inc. , CWMBS, Inc. , DB Structured Products, Inc. , DB U.S. Financial Market Holding Corporation , Deutsche Alt-A Securities, Inc. , DEUTSCHE BANK SECURITIES, INC. , DLJ Mortgage Capital, Inc. , Edward Grieb, EMC Mortgage Corporation , Fitch, Inc. , GMAC Mortgage Group, LLC , Goldman Sachs & Co. , IMH Assets Corp. , Impac Funding Corporation , Impac Mortgage Holdings, Inc. , Impac Secured Assets Corp. , J.P. Morgan Acceptance Corporation I , J.P. Morgan Mortgage Acquisition Corp. , James J. Sullivan, JPMorgan Securities Holdings LLC , Kristine Smith, Lana Franks, Mark Zusy, Merrill Lynch & Co., Inc. , Merrill Lynch Mortgage Investors, Inc. , Merrill Lynch Mortgage Lending, Inc. , Merrill Lynch Pierce Fenner & Smith, Inc. , Moody’s Corporation , Moody’s Investors Service, Inc. , Morgan Stanley , Morgan Stanley & Co. Inc., , Morgan Stanley Capital I Inc. , Morgan Stanley Mortgage Capital Holdings, LLC , Mortgage Asset Securitization Transactions, Inc. , MortgageIT Securities Corp , MortgageIT, Inc. , Nomura Asset Acceptance Corporation , Nomura Credit & Capital, Inc. , Nomura Holding America, Inc. , Nomura Securities International, Inc. , RBS Acceptance Inc. , RBS Financial Products Inc. , RBS Holdings USA Inc. , RBS Securities Inc. , Residential Accredit Loans, Inc. , Residential Funding Company, LLC , Richard McKinney, Richard S. Fuld, Jr., Samir Tabet, Sandler, O’Neill & Partners, L.P. , Standard & Poor’s Financial Services LLC , Structured Asset Mortgage Investments II Inc. , The Bear Stearns Companies LLC , The McGraw-Hill Companies, Inc. , UBS Americas Inc. , UBS Real Estate Securities Inc. , UBS Securities LLC , Wamu Capital Corp. , Wells Fargo & Company , Wells Fargo Asset Securities Corporation , Wells Fargo Bank, National Association , Defendants John Doe 1-50, JP Morgan Chase & Co. and MORTGAGEIT HOLDINGS, INC. |
Federal Home Loan Bank of Boston |
Massachusetts Superior Court- Suffolk County |
$5,800,000,000 |
FHLB sues a number of parties related to private-label mortgage backed securities offerings that went bad. FHLB alleges various misrepresentations re: quality of securities |
Federal Home Loan Bank of Boston v. Ally Financial, et al. |
1:2011cv10952 |
05/26/11 |
www.mortgagedaily.com/litigationmbs051011.asp |
| BAC Home Loans Servicing LP |
MBS investors |
n/a |
n/a |
Agreement reached on Oct. 18, 2010, was extended. The Bank of New York Mell joined the agreement. |
n/a |
n/a |
n/a |
www.mortgagedaily.com/litigationmbs051011.asp |
| Countrywide Home Loans, Inc., Park Granada LLC, Park Monoco Inc., Park Sienna LLC, Bank of America Corp., Bank of New York Mellon |
Walnut Place LLC |
Supreme Court of the State of New York- County of New York |
$1,060,000,000 |
Investors suing to force repurchase of loans underlying securities purchased by plaintiff, alleging breached representations and warranties on the part of Countrywide |
Walnut Place LLC v. Countrywide Home Loans, Inc. et al |
650497/2011 |
n/a |
www.mortgagedaily.com/litigationmbs051011.asp |
| ICP Asset Management, Moore Capital |
American International Group |
Supreme Court of the State of New York- County of New York |
n/a |
AIG suing managers of CDO’s who allegedly made false representations that CDO’s contained prime mortgages |
American Int’l Group v. ICP Asset Management |
n/a |
n/a |
www.mortgagedaily.com/litigationmbs051011.asp |
| Federal Housing Finance Agency, Fannie Mae, Freddie Mac |
People of the State of California |
United States District Court for the Northern District of California |
n/a |
California filed suit to prevent GSE’s from blocking the Property Assessed Clean Energy (PACE) program, which allows homeowners to pay for energy efficiency improvements through increased property taxes. |
People of the State of California ex rel. Edmund G. Brown Jr. v. Federal Housing Finance Agency et al. |
C10-03084 |
07/14/10 |
www.mortgagedaily.com/litigationsecondary051111.asp |
