It's been a long time since I was last here, but the fraud continues. Years and years of it. I was posting about this in 2008, give or take...
Ocwen still forecloses unlawfully and has the added bonus of fleecing taxpayers through HAMP for years, yet it claims to make very little profit. Hmmmm...
January 27, 2017
Ocwen Financial Group long has been a punching bag for regulators, and the West Palm Beach-based loan servicer finds itself taken to task again in a quarterly report from the U.S. Treasury Department’s Special Inspector General for the Troubled Asset Relief Program.
Released Friday, the report’s summary of Ocwen’s performance spans just over a page, and includes nine uses of “wrongfully,” along with one instance each of “improperly,” “misconduct” and “mismanagement.” Among the findings:
“Treasury continued to find in 2014 through 2016 that Ocwen wrongfully cancelled homeowners out of [the Home Affordable Mortgage Program]. More than 127,000 homeowners who were in a HAMP modification with Ocwen have fallen out of HAMP. Ocwen was paid in excess of $725 million through HAMP for these cancelled homeowners. More than 30,000 of these homeowners went into foreclosure or otherwise lost their home.”
“Treasury has found that Ocwen wrongfully cancelled people out of HAMP based on Ocwen’s own misconduct similar to the conduct in Ocwen’s enforcement action. Ocwen cancelled homeowners out of HAMP finding that they had missed three payments, when in reality homeowners made the payments, but Ocwen held mortgage payments in suspense, improperly reversed and later reapplied mortgage payments, and did not timely post payments made to an Ocwen lockbox. Treasury does not know how many homeowners Ocwen has wrongfully cancelled out of HAMP.
“Ocwen’s denial of 68 percent of those who applied for HAMP should be looked at through the lens of the enforcement action which found that Ocwen ‘improperly denied loan modifications.’”
“With Treasury contracted to pay up to another scheduled $2.2 billion and possibly an additional $941 million to Ocwen, continued oversight over these billions of dollars and this program remains critical.”