Coakley Takes On MERS Foreclosure Fraud
This week, Massachusetts Attorney General Martha Coakley escalated her investigation into foreclosure fraud from MERS, a company who oversees 60 percent of United States loans.
The purpose of this investigation is to see of Mortgage Electronic Systems Inc., is violating Massachusetts foreclosure laws. State and federal regulators began investigating MERS last year after bank “robosigners” admitted to signing thousands of mortgage-related legal documents without accurately reviewing them.
MERS, who oversees a database of 32 million active mortgages claims to be the legal owner of loans in their database and claims they don’t need to record every loan transfer in a county registry of deeds. This is resulting in many Massachusetts home sales taking place without an accurately recorded deed.
In addition, an audit taking place this past June showed that MERS could potentially owe Essex County alone over $22 million for not recording deeds locally.
Read more about Coakley’s latest crusade in this article from Tuesday’s Boston Globe.