Florida Rep. Grayson requests end to foreclosure proceedings involving three fraudulent firms – NMP Skip to main content

Florida Rep. Grayson requests end to foreclosure proceedings involving three fraudulent firms

Sep 22, 2010

Florida Rep.  Alan Grayson has requested that the Florida Supreme Court stop all foreclosures involving three firms under investigation for mortgage fraud. In a letter to Chief Justice Charles Canady, dated Sept. 20, 2010, Rep. Grayson highlights the issue of illegal foreclosures. In the letter, Congressman Grayson wrote, “Taking someone’s home should not be done lightly. And it should certainly be done in accordance with the law.” Three "foreclosure mills," the Law Offices of Marshall C. Watson, Shapiro & Freeman, and the Law Offices of David J. Stern—constitute an average of 80 percent of all foreclosure proceedings in Florida. All three are under investigation by the Attorney General of Florida. “I respectfully request that you abate all foreclosures involving these firms until the Attorney General … has finished his investigation of those firms,” Rep. Grayson has requested of Chief Justice Canady. The Congressman’s letter highlights a foreclosure case in Jacksonville, Fla. which a judge dismissed with prejudice. In the ruling, the judge excoriated Chase, Washington Mutual, and Shapiro & Fishman for document fraud on the court. In the case, Chase attempted to foreclose on a home, when it did not actually hold the mortgage note. A recent story in The New York Times exposes the foreclosure mills in Florida, and the high-speed foreclosure process underway in some parts of the state. Several news reports discuss rampant and widespread practices of document fraud and forgery. Members of the Congressman’s staff spoke with multiple foreclosure specialists and attorneys in Florida who confirm the reports. “If the reports I am hearing are true, the illegal foreclosures taking place represent the largest seizure of private property ever attempted by banks and government entities. This is lawlessness,” said Rep. Grayson. For more information, visit http://grayson.house.gov.
About the author
Published
Sep 22, 2010
Checkr Buys Truv To Move Mortgage Verification Beyond Documents

The acquisition adds consumer-permissioned payroll and banking data to Checkr’s mortgage platform while lenders confront increasingly convincing fabricated financial records

Aug 19, 2026
IMBs Make Most Mortgages. CHLA Says It’s Time They Got FHLBank Access.

As FHFA moves to give Federal Home Loan Banks more flexibility, the trade group is renewing its push to give qualified independent mortgage banks access to FHLBank membership and liquidity

Insuring The Risk To Lenders At Closing

Traditional protections like title insurance and closing protection letters may leave lenders exposed to significant settlement, funding, and fraud-related losses

CHLA Uses Trump Mortgage Order To Renew Push For LO Comp Reform

Community lenders want more flexibility over employee compensation, closing-cost estimates, down payment assistance, and federal supervision of smaller IMBs

Servicers Begin Testing Systems Ahead of VA Partial Claim Deadline

VA lenders and servicers have until Nov. 28 to implement the new loss mitigation waterfall and Partial Claim Program

ROAD Act’s Housing Incentive May Be Too Small To Move Supply

Realtor.com finds the median city risks losing only about $84,000, although the policy could carry more weight in supply-starved Northeast and Midwest markets