$650,000 in Sanctions Imposed in Bankruptcy Case
By Nicholas Ortiz on May 4, 2008 in Bankruptcy Cases of Interest, General Bankruptcy Information
Massachusetts Bankruptcy Judge Rosenthal recently imposed $650,000 in sanctions under Bankruptcy Rule 9011 on various parties for misrepresenting the ownership of a mortgage loan in a bankruptcy case.
Ameriquest Mortgage Company, which was sanctioned $250,000, represented to the Court on various occasions that it was the holder of of the debtor’s mortgage/note. In reality, Ameriquest was only the servicer of the loan for a time.
Two law firms, Ablitt & Charlton, P.C. ($25,000) and Buchalter Nemer Fields & Younger ($100,000), and one lawyer, Attorney Robert Charlton ($25,000) were also sanctioned. Wells Fargo was sanctioned in the amount of $250,000. The order arose in the long-running Nosek case. An appeal will likely follow.
If you liked that post, then try these...
Beware of Misleading Bankruptcy Information From Non-Lawyers by Bankruptcy Attorney
Joint Family Bank Accounts by L. Jed Berliner, Springfield Bankruptcy Attorney
What Are the Rights and Responsibilites of Chapter 13 Debtors and Their Attorneys After the Case is Filed? by Peter Orville, Attorney at Law
Just One More Time For the Record: Think Four Times! by Karen Oakes, Southern Oregon Bankruptcy Attorney
If I file for bankruptcy, will I go to jail? by Bankruptcy Attorney
Popularity: 11% [?]
You must be logged in to post a comment.