Boston Business Journal by By Matthew L. Brown, Financial Services Reporter
Seeking to have the remaining civil charges against them dismissed, five large national mortgage lenders and the Mortgage Electronic Registration System confronted state prosecutors in Suffolk Superior Court in Boston on Monday afternoon.
Prosecutors during a hearing argued that lenders Wells Fargo, Bank of America, JP Morgan Chase, Citibank and GMAC Mortgage, as well as MERS, should face state civil charges that they initiated foreclosures without actually holding the mortgages in question and that they corrupted land records by using MERS. Those charges were originally brought by state Attorney General Martha Coakley last December.
A number of other civil charges included in the suit were dismissed in February as part of the $25 billion nationwide foreclosure settlement with the banks. The state won about $318 million in that settlement, as well as permission to continue prosecution of the so-called “Ibanez” and MERS claims.