Kimberly Miller, Palm Beach Post
Foreclosure Review Services, a new company advertising its readiness to search for flaws in foreclosure cases, is being overseen by former Law Offices of David J. Stern executive Miriam Mendieta.
Mendieta, who the Florida Bar said today is under investigation for at least one foreclosure-related complaint, is named as the director of operations and training in a marketing press release for Foreclosure Rescue Services, or FRS.
The Florida Bar says Mendieta changed her address to Stern’s Plantation-based office in April 2008, indicating that’s when she started there.
She is described in a Forbes online bio as “responsible for the oversight of all aspects of foreclosure and bankruptcy related legal services, and for supervising the lawyers at DJS (David J. Stern) providing foreclosure and bankruptcy legal services.”
Stern’s firm, once considered the largest so-called “foreclosure mill” in the state, closed in March after allegations of document wrongdoing surfaced in an attorney general’s investigation. The Plantation-based firm was fired by Fannie Mae and Freddie Mac last fall following the robo-signing scandal that brought foreclosure proceedings to a near standstill.
Mendieta is a member in good standing of the Florida Bar with no discipline history during the past decade.
A phone number listed for her on the Florida Bar’s website was not accepting messages Monday afternoon because of a full memory. There was no e-mail listed with her contact information on the site.
Foreclosure fraud auditing is poised to become a lucrative business following a consent order with federal bank regulators that requires 24 mortgage servicers to review foreclosure cases for flaws that could have caused financial damage to the homeowner.
About 4 million loans that were in some stage of foreclosure in 2009 and 2010 are eligible for review.
The Office of the Comptroller of the Currency could announce today the names of firms selected by banks to do the review. Those firms are allowed to sub-contract with smaller companies, but all groups must be vetted by the comptroller’s office, said spokesman Bryan Hubbard. Hubbard confirmed that Foreclosure Review Services had not, as of Monday, been hired as a subcontractor.
“We review law firms and subcontractors to ensure there is not a conflict of interest related to existing tasks or future work,” Hubbard said Monday.
The Florida Department of State Division of Corporations shows Foreclosure Review Services, or FRS, filed as a limited liability company on Nov. 15.
Its registered agent and CEO, Jonathan Broder, said Monday he needed to review concerns raised on homeowner advocate blogs before he could comment.