Posted on Thursday, May 5, 2011
The office of Florida Attorney General Pam Bondi announced it filed a lawsuit on Friday against three South Florida companies that allegedly were charging upfront fees for loan modification services to homeowners facing foreclosure, which is illegal under state law.
Home Owner Protection Economics, DC Financial Group, Deleverage America and owners Dennis Fischer and Christopher S. Godfrey purportedly collected thousands of dollars monthly in upfront fees for loan modification services that were never provided, a press release said.
The Palm Beach County Circuit Court ordered the defendants' assets be frozen and that they be forbidden from operating until further order of the court, the press release said.
An investigation by the Attorney General's Economic Crimes Division indicated the Delray Beach companies were charging upfront fees of $495 to $2,000 for foreclosure-related loan modification services that were never rendered, the press release said.
Homeowners who may have been victimized can file a complaint by visiting the Attorney General's Web site at www.myfloridalegal.com or by calling the fraud hotline at (866) 966-7226.
South Florida Business Journal