Robo-Signing Is Back With A Vengeance

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Photo: AP

Linda Green has signed over 1,300 mortgage documents in the past nine months.She did so using 22 different signatures.

All while not working in the industry since spring of 2010.

She is the name behind one of the many bonafide robo-signing shops still operating around the country, according to an AP investigation.

Documents signed by her are among the reasons the Register of Deeds in Essex County, Mass. believes 75% of mortgage assignments are invalid and wants to suspend all foreclosures. Guilford County, NC and others have also put a stop on foreclosures due to sketchy paperwork.

Proof of robo-signing could also lead to criminal charges, according to the AP:

It is a federal crime to sign someone else’s name to a legal document. It is also illegal to sign your name to an affidavit if you have not verified the information you’re swearing to. Both are punishable by prison.

In Michigan, the attorney general took the rare step in June of filing criminal subpoenas to out-of-state mortgage processing companies after 23 county registers of deeds filed a criminal complaint with his office over robo-signed documents they say they have received. New York Attorney General Eric Schneiderman’s office has said it is conducting a banking probe that could lead to criminal charges against financial executives. The attorneys general of Delaware, California and Illinois are conducting their own probes.

There have not been any criminal charges yet, however, nor were a significant quantity of mortgages thrown out in last year’s crisis. Thus it’s no surprise that banks have waded back into the murk.

Read more from the AP investigation >

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