The Sun Sentinel is reporting that Florida Attorney General Bill McCollum has joined the State Foreclosure Prevention Working Group, top regulators from 39 other states who are investigating the practices of banks and mortgage and loan companies involved in the foreclosure crisis.
However, McCollum has not supported a moratorium on foreclosures:
“While this is no doubt a serious matter, there still exist valid foreclosures that need not be delayed,” said Ryan Wiggins, McCollum’s spokeswoman.
Wiggins said rather than a blanket moratorium, McCollum’s office will look on its own, and with the working group, at “available options.” While banks are federally regulated, Wiggins said the states would have jurisdiction over mortgage servicers.
The St. Petersburg Times reports the attorney general has sent letters to top executives at Bank of America, JPMorgan Chase, GMAC, PNC Financial Group and Litton Loan Servicing seeking to meet and “discuss ways to promptly and effectively redeem the integrity of the foreclosure process.”
There are reports that the five lenders may have filed faulty affidavits in Florida foreclosure cases.