Archives for April 2015

MISSOURI THE NEXT CALIFORNIA FOR OCWEN FINANCIAL

What does a criminal say just before sentencing?  “I’m innocent!”  What does Ocwen Financial say?  “Not true.”  Then Ocwen pays MILLIONS OF DOLLARS in fines.    State regulators in California threatened to suspend Ocwen’s license to operate, saying Ocwen failed to submit paperwork showing that Ocwen complied with state laws.  From one shake down to another the state Department of Oversight instead fined Ocwen only $2.5 million and prohibited Ocwen from acquiring additional mortgage servicing rights for loans.

Ocwen is also being sued by its investors for failing to collect payments on $82 BILLION DOLLAR of home loans.  The investors claim that Ocwen implemented “conflicted servicing practices that enriched Ocwen’s corporate affiliates… .”  The lawsuit also accuses Ocwen of “engaging in imprudent and wholly improper loan modification, … failing to communicate effectively with borrowers or comply with applicable laws, including consumer protection and foreclosure laws… .”

Shockingly, Ocwen has denied the allegations, saying the lawsuit is “baseless”.  We have heard this before.  It is time for Ocwen to once again open up its wallet and pay people to go away.  Not the best business model.  Recently, Ocwen paid a $150 MILLION DOLLAR settlement with the New York Department of Financial Services.  When will Ocwen learn that paying out millions of dollars in fines is not the way to do business.  Ocwen must not care.