By MICHELLE CONLIN – Feb 6, 2011 7:29 PM ET
By The Associated Press
FORT LAUDERDALE, Fla. (AP) — During the housing crash, it was good to be a foreclosure king. David Stern was Florida’s top foreclosure lawyer, and he lived like an oil sheik. He piled up a collection of trophy properties, glided through town in a fleet of six-figure sports cars and, with his bombshell wife, partied on an ocean cruiser the size of a small hotel.
When homeowners fell behind on their mortgages, the banks flocked to “foreclosure mills” like Stern’s to push foreclosures through the courts on their behalf. To his megabank clients — Bank of America, Goldman Sachs, GMAC, Citibank and Wells Fargo — Stern was the ultimate Repo Man.
At industry gatherings, Stern bragged in his boyish voice of taking mortgages from the “cradle to the grave.” Of the federal government’s disastrous homeowner relief plan, which was supposed to keep people from getting evicted, he quipped: “Fortunately, it’s failing.”
The worse things got for homeowners, the better they got for Stern.
That is, until last fall, when the nation’s foreclosure machine blew apart and Stern’s gilded world came undone. Within a few months, Stern went from being the subject of a gushing magazine profile to being the subject of a Florida investigation, class-action lawsuits and blogger Schadenfreude that, at last long, the “foreclosure king” was dead.
“What Stern represents is an industry that was completely unrestrained, unchecked, unpunished and unsupervised,” says Florida defense attorney Matt Weidner. “This was business gone wild.”
The rise and fall of Stern, now 50, provides an inside look at how the foreclosure industry worked in the last decade — and how it fell apart. It also shows how banks, together with their law firms, built a quick-and-dirty foreclosure machine that was designed to take as many houses as fast as possible.
A Palm Beach county homeowner fighting alleged foreclosure fraud has ended up before the Florida Supreme Court.
An appeals court last week requested that the high court consider the case of Greenacres homeowner Roman Pino as a matter of “great public importance.” The decision by the 4th District Court of Appeal in West Palm Beach was unusual as neither the bank nor the homeowner requested such a review.
“We conclude that this is a question of great public importance, as many, many mortgage foreclosures appear tainted with suspect documents,” the appeals court wrote in certification to the Supreme Court.
Should the case be accepted by the Florida Supreme Court and a decision rendered in favor of Pino, thousands of cases could be impacted as allegations of document fraud run rampant throughout the state.
JUDGE POLEN: I’m afraid I’m not following
that. David Stern’s client at the time was BNY
Mellon Bank, right?
MR. NIEVES: Yes.
JUDGE POLEN: Okay. And that’s evidence of
what, an assignment to a bank?
MR. NIEVES: Basically, the law firm
manufactured evidence for the client’s case.
JUDGE POLEN: Okay.
MR. NIEVES: It was signed and executed by
Cheryl Samons, who works for David Stern, and
executed the assignment solely for the litigation,
and, in the assignment, posed as an officer of a
different entity.
<SNIP>
MS. GIDDINGS: Well, Your Honor, if you look at
the allegations that they have made, almost all of
those allegations pertain to a different case.
They’re not this particular case. I don’t know what
that document — what occurred in that document. But
I think this court is probably going to have a number
of cases that come up before it where that issue
is — it may be at issue in subsequent proceedings.
And when you reopen — if you’re going to reopen
those cases, you have to make sure that you’re
reopening it for something that is material.
JUDGE FARMER: Fraud on the Court is not
material?
MS. GIDDINGS: Your Honor, fraud on the
Court –
JUDGE FARMER: Publishing false documents is
not material?
<SNIP>
MS. GIDDINGS: Because there was no affirmative
relief obtained in this case, Your Honor. And, in
fact, the relief was that Mr. Pino has been living in
the house for a long time, apparently without making
any payments. And I understand your concerns, Your Honor.
But I’m urging you to consider this case in the grand
scheme of things. If you allow courts to go back and
open up all of these cases, when it’s clear on the
face that there was no affirmative relief obtained,
or that the affirmative relief would not have been
material, then you’re going to create chaos in the
court system.
JUDGE FARMER: So, are you suggesting that this
fraud has been that widespread that it –
MS. GIDDINGS: Your Honor, I’m not
acknowledging that any fraud occurred. I think that
there is — we all know –
JUDGE FARMER: Why would we shrink — as a
court system, why would we shrink, no matter how many
cases it might involve, from looking out for attempts
to defraud courts to publish and utter and use false
instruments? Why wouldn’t we be most vigilant?
Feel sorry for the poor robo-signer who had to sign 1,000 foreclosure files a day? Then here’s some good news: allegations are now surfacing that at least one robo-signer got help from co-workers.
Imagine standing in your front yard and watching as a car pulls up. A stranger gets out, walks up to you, verifies your identity, then serves you with foreclosure papers. Now imagine that you’ve never missed a mortgage payment in your life.
You’ve seen the headlines about banks stopping foreclosures – but if you haven’t yet realized the implications for every American, this is a story you don’t want to miss.
Side note…DJSP recently signed what may be the largest lease in Orlando this year. They plan to open a 12,870-square-foot in Highwoods Properties’ Landmark Center Two, near Lake Eola.
8 Q. And what was said about Cheryl’s bills being paid for
9 the Law Offices of David Stern?
10 A. That he’s always done it. David Stern has always
11 paid for Cheryl’s expenses.
12 Q. Personal expenses?
13 A. Yes.
14 Q. Do you know if he — Well was there rumor — Was
15 there talk, rather, that he paid — that he bought her car?
16 A. No, that’s confirmed. He did buy her a car. I
17 acknowledge that.
18 Q. He did buy her a car?
19 A. Yes.
20 Q. What kind of car did he buy her?
21 A. It was a BMW SUV.
<SNIP>
Q. Anything that –
4 A. Is it like personal or business or –
5 Q. Personal? Business? Anything at all?
6 A. Personal? The only thing that I was aware of that
7 took place there were the perks that certain employees received
8 from David Stern. If they were either dating him or they were
9 good friends with him, that they would basically do certain
10 things for him for certain files, in the sense of like David
11 Vargas. He would have certain perks from David Stern, like a
12 house, a car, cell phone paid all by David Stern.
13 And that’s all I know.
14 Q. Okay. So do you know of any other perks besides what
15 you said that Cheryl Salmons got? A car you said, for sure.
16 And her personal bills paid.
17 A. Yes. And cell phone.
18 Q. And probably her mortgage?
19 A. Yes. And vacations and gifts, jewelry.
20 Q. Who else would received gifts and jewelry or cars or
21 homes?
22 A. His girlfriend and David Vargas.
23 Q. Who’s his girlfriend?
24 A. At the time it was Christina Dell’Aguila
<SNIP>
8 Q. You have friends that still work at the office?
9 A. Yes.
10 Q. Doing what?
11 A. Foreclosure paralegals, docket return clerks.
12 Q. And what are they telling you?
13 A. That they’re very scared. That’s it.
14 Q. That your friends are scared?
15 A. Yeah, that my friends are scared.
16 Q. Did they say anything about what’s going on with
17 Stern or Cheryl Salmons or anybody else?
18 A. The only concern was that they were moving files out
19 of the office into a different office and that Eighteen Inch
20 Freight, I think, was picking them up. Something like that.
21 Trailer freight, something like that.
22 Q. Do you know where –
23 MS. CLARKSON: Eighteen wheeler?
24 THE WITNESS: Yeah, eighteen wheeler.
25 BY MS. EDWARDS:
1 Q. Do you know where they were moving them?
2 A. Supposedly they were being moved to Orlando’s office.
3 Q. And do you know why they would do that?
4 A. No.
5 Q. Do you know how long ago this was going on?
6 A. I think a month and a half ago.
7 Q. What kind of office is Orlando?
8 A. David Stern has another law office in Orlando,
9 Florida.
10 Q. What office is that?
11 A. I don’t know.
12 Q. And was it connected with the office here in Broward
13 County?
14 A. Yes.
15 Q. And do you know which — what the office is there or
16 what the location is?
17 A. No, I just know it’s another law office for David
18 Stern that he’s opened for foreclosures in Orlando.
19 Q. And did he just open it a month and a half ago?
20 A. No. He opened it, I think it was either sometime at
21 the beginning of this year or the end of last year. I can’t
22 remember.
23 Q. 2010?
24 A. Yeah.
25 Q. Or December 2009?
The Law Offices of David J. Stern took its fight against the attorney general’s investigation to court on Tuesday, moving to quash the state’s subpoena.
The battle between Attorney General Bill McCollum and four law firms accused of shoddy foreclosure practices continued in Broward County Court on Tuesday, with the Law Offices of David J. Stern challenging the state’s subpoena.
Jeffrey Tew, legal counsel for Stern’s Plantation-based firm, argued that the attorney general’s office does not have jurisdiction to investigate law firms under the Federal Deceptive and Unfair Trade Practices Act, or FDUTPA.
That statute — the basis of McCollum’s case — only applies in cases where goods and services are being transferred between the accused and the alleged victim, Tew said.
“The alleged quote-unquote `victims’ in this case are the borrowers,” said Tew, presenting a motion to “quash” the subpoena. “FDUTPA requires that the law firm be exchanging goods and services of monetary value with the borrowers.”
Tew said that the law firm was exchanging its services with the banks, not the borrowers.
The judge, Eileen O’Connor, said she would rule in a couple of days.
The case is crucial to the state’s investigation, because it comes on the heels of another ruling in which a Palm Beach judge quashed the state’s subpoena of the Shapiro & Fishman law firm. That judge said the Florida Bar and the Supreme Court have jurisdiction to sanction lawyers, not the attorney general.
O’Connor indicated that she would judge independently.
“That’s not your better argument,” she told Tew after he referenced the Palm Beach case.
Attorney General McCollum I applaud you for STANDING UP for Florida!
Assistant AG’s June M. Clarkson and Theresa B. Edwards what an amazing job! Thank you.
Investigate the law suit Shapiro and Stern had against each other…You might just find missing pieces there.
The facts are the facts…crystal clear. This glass is not half full but spilling out the rim of the glass!
Attorney General Bill McCollum today filed a Motion for Rehearing on last week’s ruling by Circuit Judge Jack Cox that the Attorney General could not investigate the Shapiro & Fishman law firm for the firm’s alleged involvement in presenting fabricated documents to the courts in foreclosure actions to obtain final judgments against homeowners. The Attorney General is currently investigating four law firms, The Law Offices of Marshall C. Watson, P.A.; Shapiro & Fishman, LLP, the Law Offices of David J. Stern, P.A., and Florida Default Law Group, PL for allegedly engaging in these practices.
By Phil Milford and Denise Pellegrini – Oct 9, 2010 12:01 AM ET
A former paralegal told Florida investigators that workers at a law firm that processed foreclosures signed paperwork without reading it, misdated records and skirted rules protecting homeowners in the military.
Tammie Lou Kapusta, who said she spent more than a year at the Law Offices of David J. Stern PA, made the accusations in a Sept. 22 interview with lawyers for Florida Attorney General Bill McCollum. In August, McCollum announced a probe of three law firms to see whether improper documents were created and filed with state courts to hasten the foreclosure process.
Jeffery Tew, a lawyer for the Stern firm, denied Kapusta’s claims.
Kapusta, who spoke under oath, said the Stern firm ballooned from 225 employees when she started in March 2008, to more than 1,100 when she was fired in July 2009. She described a disorganized workplace where documents got lost and mortgages were misfiled. The training process was “stupid and ridiculous,” she said.
“There were a lot of young kids working up there who really didn’t pay attention to what they were doing,” she said, according to a transcript. “We had a lot of people that were hired in the firm that were just hired as warm bodies.”
Kapusta’s statements were reported Oct. 7 in the Tampa Tribune. Tew, of Tew Cardenas LLP in Miami, said he wasn’t aware of the interview until it was released to the public.
“We didn’t get a chance to cross-examine her,” he said. “It was a one-sided statement by a disgruntled employee. There was a lot of animus and personal references, and she seeks to besmirch people’s reputation. The law firm denies there’s any accuracy in the charges.”
Jurisdiction Challenged
There’s a court hearing set for Oct. 12 to determine whether McCollum’s office has jurisdiction over the firm’s conduct, Tew said.
“This is a civil investigation, and the attorney general hasn’t made any conclusions,” Tew said.
Bank of America
Florida Default Law Group
Law Offices of David Stern
Lender Processing Services
Litton Loan Servicing, LP
Cheryl Samons
Security Connections, Inc.
Action Date: October 10, 2010
Location: Charlotte, NC
On October 8, 2010, Bank of America announced it was extending its suspension of foreclosures to all 50 states. A review of the documents used by Bank of America to foreclose readily shows why this was the only appropriate action for Bank of America. In thousands of cases, Bank of America has used Mortgage Assignments specially prepared just for foreclosure litigation. On these assignments, the identity of the mortgage company officer assigning the mortgage to BOA is wrongly stated. Who has signed most frequently as mortgage officers on mortgage assignments used by BOA to foreclose? Regular signers include the “robo-signers” from Lender Processing Services in both Alpharetta, Georgia and Mendota Heights, Minnesota. LPS employees Liquenda Allotey, Greg Allen, John Cody and others, using dozens of different corporate titles, sign mortgage assignments stating BOA has acquired certain mortgages. When the mortgages involved originated from First Franklin Bank, BOA used Security Connections, Inc. in Idaho Falls, Idaho. Employees Melissa Hively, Vicki Sorg and Krystal Hall also signed for many different corporations for BOA. Litton Loan Servicing in Houston, Texas, a company owned by Goldman Sachs, also produced documents as needed by BOA, usually signed by Denise Bailey, Diane Dixon or Marti Noriega signing as officers of at least a dozen different mortgage companies and banks. BOA also has used mortgage assignments signed by Cheryl Samons, the office administrator for the Law Offices of David Stern, who has admitted to signing thousands of mortgage documents each month with no actual knowledge of the contents. On other cases, employees of the law firm Florida Default Law Group have signed for BOA, using various titles, including claiming to be Vice Presidents of Wells Fargo Bank, all while failing to disclose they actually worked for Florida Default. in most of these cases, BOA is acting as Trustee for residential mortgage-backed securitized trusts. These trusts are claiming to have acquired the mortgages in 2009 and 2010, even though the trusts deadline for acquiring mortgages was often in 2006 and 2007. In hundreds of cases, the mortgage assignments presented by BOA are actually signed months AFTER the foreclosure actions were commenced. At least 50 trusts using BOA as Trustee are involved in using these fraudulent documents. Each trust has between $1.5 billion and $2 billion of mortgages. The BOA documents have been used in thousands of cases, pending and completed, for at least three years. This massive problem cannot be “fixed” in 90 days, but a nationwide suspension of foreclosures is a good, responsible beginning.
TAMPA – First, the Florida Attorney General’s Office launched an investigation into four of the state’s largest foreclosure firms, alleging made-up paperwork and forged signatures.
Then, some of the nation’s largest lenders halted home foreclosures after discovering employees had signed hundreds of thousands of documents without reading them.
Now, in a foreclosure industry bloated by the lingering effects of the housing crisis, a former employee in one of the firms under investigation describes in detail a secret system designed for speed at any cost.
Attorneys and staff members forged signatures and changed dates, casually passed around notary stamps, and notarized stacks of blank documents to be filled in later, said the employee, Tammie Lou Kapusta, in an interview with attorney general’s staff.
At the Law Offices of David J. Stern in Broward County, where Kapusta worked, long “signing tables” were set up across eight floors and employees would process 250 documents per floor each day, she said during the interview.
HEY JUDGE COX, THIS IS WHAT YOUR MOTION TO QUASH IS PROTECTING!
~
MY GOD!
~
WHERE ARE THE F***ING FEDERAL AGENTS!!!
~
“I personally did not do it because I refused to do it.”
“I wasn’t going to falsify a military document.”
“I was told that that’s fine, somebody else on your team will do it.”
~
This just in and it is unbelievable!
We are neck deep in issues today so I do not have time to go through and highlight everything, and there is a lot, but here are some snips…
TAKE THE TIME TO READ THIS IN ITS ENTIRETY
THIS SHOULD BE THE BOMBSHELL THAT STOPS IT ALL IN FLORIDA
MORE TO FOLLOW ON THIS
1 STATE OF FLORIDA OFFICE OF THE ATTORNEY GENERAL
2 DEPARTMENT OF LEGAL AFFAIRS
3 AG # L10-3-1145
4
5 IN RE:
6 INVESTIGATION OF LAW OFFICES
OF DAVID J. STERN, P.A.
7
8 ____________________________/
9
10
11
12 DEPOSITION OF TAMMIE LOU KAPUSTA
13
14
15
16 12:11 p.m. – 1:58 p.m.
September 22, 2010
17 Office of the Attorney General
110 Southeast 6th Street, 10th Floor
18 Fort Lauderdale, Florida 33301
1 P R O C E E D I N G S
2 – – -
3 Deposition taken before Kalandra Smith, Court
4 Reporter and Notary Public in and for the State of
5 Florida at Large, in the above cause.
6 – – -
7 THERE UPON:
8 TAMMIE LOU KAPUSTA
9 having been first duly sworn or affirmed, was examined
10 and testified as follows:
1 Q Let’s go to the assignments of mortgage. They
2 were prepared in-house?
3 A Yeah.
4 Q You’re smiling. You want to tell me about
5 them?
6 A Assignments were done sometimes after the
7 final judgement was entered.
8 Q Do you know why that is?
9 A Because that’s what we were directed to do
19 Q Can you tell me the execution of the
20 assignments, how it worked?
21 A Assignments were prepared again from the
22 casesum. All of our stuff comes from the casesum. They
23 would be stamped and signed by a notary or not. Per
24 floor we had a designated spot to place them and Cheryl
25 would come once a day and sign them.
22
1 Q Sign them as what?
2 A As –
3 Q For the bank?
4 A Correct.
5 Q Or for MERS or whoever it was for?
6 A Correct.
7 Q Would these notaries be there watching her as
8 she signed?
9 A No.
10 Q She would just sit there and sign stacks of
11 them?
12 A Correct. As far as notaries go in the firm I
13 don’t think any notary actually used their own notary
14 stamp. The team used them.
15 Q There were just stamps around?
16 A Yes.
17 Q And you actually saw that?
18 A I was part of that.
19 Q You did it? Are you a notary?
20 A No, I’m not.
21 Q Did you sign as a witness?
22 A I did not. I signed as a witness on one
23 document and after that I decided that I didn’t want to
24 put my name as a witness anymore.
25 Q Tell me about the stamps. You stamped them?
23
1 A Yeah, I had stamps. Each team had a notary on
2 them or notaries that I was aware of. Whether they were
3 or weren’t wasn’t –
4 Q You had stamps?
5 A Correct. We would stamp them and they would
6 get signed.
7 Q Stamp them in blanks?
8 A Yes.
9 Q Who would sign them?
10 A Other people on the team that could sign the
11 signature of the person or just a check on there or
12 whatever.
13 Q Was that common practice?
14 A Yes.
15 Q Was that standard practice?
16 A Pretty much.
17 Q What about the witnesses?
18 A Those would be signed by juniors who were –
19 Q Standing there?
20 A Here, sign this. It has to go to Cheryl, sign
21 it. Then it would go and sit at the desk where Cheryl
22 would sign everything.
23 Q Out of view of the notary and out of view of
24 the witnesses?
25 A Correct.
24
1 Q Do you know who implemented this procedure?
2 A Cheryl.
3 Q Cheryl did?
4 A Um-hum.
5 Q Did anybody else sign with the firm for the
6 banks?
7 A Yes.
8 Q Who was that?
9 A There were people that were responsible for
10 signing Cheryl’s name. Cheryl, Tammie Sweat, and Beth
11 Cerni. Those were the only three people that could sign
12 Cheryl’s name. If you ever look at assignments you’ll
13 see that they are not all the same.
14 MS. EDWARDS: What are the names again?
15 Cheryl, Tammie?
16 THE WITNESS: Tammie Sweat and Beth Cerni.
17 MS. EDWARDS: Could you spell that.
18 MS. CLARKSON: C-E-R-N-I.
19 BY MS. CLARKSON:
20 Q Did they practice Cheryl’s signature?
21 A I would assume so.
22 Q Did you ever see them?
23 A Not practicing but I’ve seen them sign it.
24 Q Did you see somebody sign Cheryl’s name?
25 A Yes.
25
1 Q That wasn’t Cheryl?
2 A Yes. All the time.
3 Q Did Cheryl know about this?
4 A Yes.
5 Q Was it at her direction?
6 A Yes.
16 Q Did anyone quit as far as you know due to the
17 practices?
18 A I’m sure but they wouldn’t come right out and
19 say I quit because of the practices. I know that people
20 had left because they were uncomfortable with the things
21 that they were being asked to do, as most of us were.
22 When it got really sticky there were a lot of us that
23 weren’t here.
24 Q What does really sticky mean?
25 A They wanted us to start changing the documents
33
1 and stuff and doing stuff that we weren’t supposed to be
2 doing as far as service.
3 Q What documents did they want you to change?
4 A Manpower documents. A lot of judges started
5 requiring, because of the Jane and John Doe issues,
6 required that you have a military search for all the
7 defendants. If you named a Jane and John Doe as an NKA
8 you had to pull a military search on them. Unless you
9 have somebody’s social security number technically you
10 can’t pull a military search supposedly.
11 The program that we used for the program that
12 we used, you could put in the main defendant’s social
13 security and John or Jane Doe’s name and it would give
14 us a military search saying that they were in the
15 military.
16 Q You would get their social security number
17 because the bank documents contained it?
18 A Correct. The lenders, the referrals had the
19 socials.
20 Q Did you put the social in on everybody to find
21 out their address for service?
22 A Not everybody. I personally did not do it
23 because I refused to do it. I wasn’t going to falsify a
24 military document. I was told that that’s fine,
25 somebody else on your team will do it.
1 Q What do you mean falsify a military document?
2 A Well, I’m using the main defendant’s social
3 security number on somebody else’s name, not his name.
4 John Doe and the main defendant was James, I was taking
5 James’ social security number and putting John Doe’s
6 name in there. I wasn’t but that’s what the practice
7 was. The judges started saying we’re not going to
8 consider service completed until –
9 Q There’s a miliary search?
10 A Correct.
11 Q So why wouldn’t they use the right social
12 security number for the right person?
13 A Because you don’t have a social for an NKA or
14 unknown tenant. They wouldn’t enter a final judgement
15 unless the military doc was there.
16 Q So you just used anybody’s?
17 A Correct.
9 A So what we had to do from that point, again
10 the affidavits were still split in two pages, at that
11 point we were supposed to be sending them back to the
12 banks to be signed now. The problem being that a lot of
13 times we wouldn’t get them back or executed in time for
14 the hearings. So we had what they called signature
15 pages that Tammie Sweat or someone else would have in
16 their possession. If we couldn’t get it back from the
17 bank executed in time we would just take a signature
18 page and put it on the affidavit.
19 Q What was on the signature page?
20 A The signature and notary from the bank.
21 Q Were these documents photocopied or were they
22 original documents?
23 A Some were photocopied.
24 Q How would you get that many from a bank
25 original? The bank supplied them to you.
42
1 A Well, what would happen would be like if I had
2 file A and that one didn’t go to hearing because there
3 was something wrong with it and file B was going to
4 hearing but it was the same bank, I would take the
5 signature page from A and give it to B.
6 Q Oh give it to another file?
7 A And just re-execute this file.
8 Q Okay. That was common practice?
9 A Yes, after Cheryl couldn’t sign.
10 Q Did Cheryl know?
11 A Yes.
12 Q Cheryl knew about all the practices because
13 she is the one who ran the office?
14 A She was the one who implemented them.
15 Q Were there any other activities or practices
16 over at David Stern’s firm that made you feel
17 uncomfortable or that you were unwilling to do?
18 A I don’t know how to answer that question.
19 It’s a loaded one.
20 Q Take your time.
21 A Yeah. Some of the things that were done there
22 just were not on the up and up.
23 Q Explain to me in as much detail as you can
24 what those things were.
25 A I don’t even know where to start with it.
Thank you to our friends at American United For Justice for providing this mind blowing audio on a conference Mr. Stern held for DJSP investors. These are some of the highlights of this conference in no particular order. Read it carefully and don’t miss the audio below.
“We take em’ from cradle to grave.”
David Stern, President and CEO of DJSP Enterprises, Inc.
His baseball pitch-
One of my favorite questions from one of my believers, one of my investors on the first call-in, “What inning are we in? If this was a baseball game, what inning are we in?” And my response is, we’re only in the 2nd inning. We still have 3 innings of foreclosures left, and after the foreclosures, we have 3 innings of REO liquidation and as the REO liquidations pan out, we get into the re-fi and we get into the origination.
[ . . . ]
So yeah, we’re in the 2nd inning, but guess what – when we get to the 9th inning, it’s going to be a doubleheader and we got a second game coming. So when people say, “Oh my God, the economy is bad!” I’m like, “Oh my God, it’s great.” I mean, I hate to hear people are losing their homes and credit isn’t available and credit is such that they can’t re-fi, but if you are in our niche, it’s what we do and it’s what we want to see.
Crystal ball admission here-
No matter what Obama rolls out, there is no stopping this inflow of continued defaults that we anticipate to go for another two or three years late behind that is the math of REO’s that need to be liquidated and at the end of the day, the cycle will start again. Well, foreclosure volumes through 2012 are expected to increase dramatically and remain at high levels going on till 2017?
“Increase in Modification Services… This is what Obama rolled out. . Home Affordable Modification Program. Unfortunately, it’s what…folks if you do what I do…unfortunately it is failing. We have the opportunity to handle the modification or where we do have a modification, we get to charge for title search, we get to charge for title exam, we get to charge for doc prep we get a 600.00 dollar incentive fee?
And at the end of the day when it’s all said, 66,000 have been done to date… of the 66,000 more than 20% have failed. So we can get the file in, we start with the foreclosure, we bill for the foreclosure, we get the mod in, we make the incentive, we doc prep, we get the title, the mod is done and guess what? It falls out. It all comes back to foreclosure land and we get to start the foreclosure all over again! So no matter what the Obama Administration brings our way. We have found a way to create a profit center on it and that I think is part of that success!”
Side note…DJSP recently signed what may be the largest lease in Orlando this year. They plan to open a 12,870-square-foot in Highwoods Properties’ Landmark Center Two, near Lake Eola.
Continue reading…TAMPA TRIBUNE
Thank you to our friends at American United For Justice for providing this mind blowing audio on a conference Mr. Stern held for DJSP investors. These are some of the highlights of this conference in no particular order. Read it carefully and don’t miss the audio below.
The audio is here: 
