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Pelosi Calls for Federal Probe of Foreclosure Fraud

HeadlineOct 06, 2010

House Speaker Nancy Pelosi is calling for a federal investigation into the improper approval of thousands of foreclosures by some of the nation’s largest banks. Bank of America, JPMorgan Chase and Ally Financial have suspended foreclosures in twenty-three states after admitting to approving foreclosure affidavits and other documents without proper vetting. It’s unknown how many homeowners lost their homes due to foreclosure fraud. Texas, meanwhile, has become the latest state to issue an industry-wide freeze on all foreclosures. The Texas Attorney General’s office has also demanded lenders identify employees who wrongly approved foreclosures.

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