AmeriKa has a serious problem with their investigations and these settlements are not going to stop them.
Three prominent Denver law firms have agreed to pay more than $1.7 million to settle state allegations that they intentionally inflated foreclosure costs on hundreds of properties statewide.
The settlements are the result of lawsuits filed by outgoing Attorney General John Suthers, the aftermath of a two-year investigation into alleged foreclosure fraud by law firms in Colorado that began following a number of Denver Post stories about the industry.
The investigation has already taken on the state’s biggest foreclosure outfits — The Castle Law Group, which continues to fight the case, and Aronowitz & Mecklenburg, which paid $10 million to settle and agreed to close.
In the latest cases quietly filed last week, attorney Michael Medved and Tracie Castanon, the business manager at The Law Firm of Michael Medved, agreed to pay $1 million — without admitting wrongdoing — to settle allegations that they followed the lead of the state’s biggest foreclosure law firms and overcharged some of their costs to handle foreclosure cases, according to copies of the settlement filed in Denver District Court.
Another $350,000 was set aside to ensure compliance.