FT. LAUDERDALE, Fla., June 12, 2013 (GLOBE NEWSWIRE) -- On June 12, 2013, Steve Dibert, President of MFI-Miami, an internationally recognized leader in investigating mortgage fraud released his opinion that foreclosures against Mexican immigrants Angel and Estela Garcia as well as other Hispanic homeowners could create a serious problem for Bank of America's shareholders over the next year. If these claims are proven true in court, Bank of America could be forced into paying billions of dollars in private civil rights damages to homeowners and millions in fines to the federal government. Bank of America also faces the retaliatory risk of losing thousands of Hispanic deposit holders in the U.S. and Latin America.
This nightmare began for Angel and Estela Garcia when they signed a temporary loan modification agreement in July of 2011 and after making the payments signed a permanent loan modification agreement in May of 2012.
After Angel and Estela Garcia made several payments under the permanent modification agreement, Bank of America canceled the contract with no explanation and then had their foreclosure law firm, Trott & Trott begin foreclosure proceedings against them claiming Bank of America never received payments.
Aside from reneging on a signed contract with the Garcias, MFI-Miami believes Bank of America who was servicing the loan for Fannie Mae may have violated the Garcia's civil rights under both the 5th and 14th Amendment.
U.S. Federal Courts have ruled that Fannie Mae is a government entity. Therefore, with Bank of America acting as Fannie Mae's servicer, Bank of America would have to foreclose on Angel and Estela Garcia judicially instead of using Michigan's non-judicial foreclosure by advertisement law which could be a violation of their civil rights.
"Angel and Estela Garcia are only a small example of what lenders like Bank of America are doing to Hispanic homeowners across the U.S.," said Steve Dibert of MFI-Miami, "I get calls daily from all over the country about how Bank of America can't be trusted because they renege on modification deals they make with Spanish speaking homeowners."