Iowa AG: Banks may face criminal liability after robo-signing settlement

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The five largest mortgage servicers recently agreed to a $25 billion settlement over some questionable mortgage loan servicing and foreclosure practices, including the so-called "robo-signing" activities that came to light in late 2010. Robo-signing refers to the practice of signing mortgage.

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Ally CEO ready to fight robo-signing settlement. Ally Financial (GJM: 21.93 +0.37%) CEO Michael Carpenter will not sign onto a settlement with the state attorneys general in the ongoing robo-signing case and is prepared for court if the final proposal does not fit the meager exposure he thinks the bank has.

"Our settlement holds America’s largest banks accountable for harms homeowners suffered from shoddy loan servicing, illegal robo-signing and faulty foreclosure processing," Washington Attorney General Rob McKenna said.

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The Administration, through the nominal head of the bank settlement negotiations, Iowa attorney general tom miller, has moved its final deadline for a deal yet again, this time to Thursday. One event of the day was a non-event. New York AG Eric Schneiderman has scheduled a conference call to the media on the settlement for 6 PM, then postponed it indefinitely 10 minutes before the scheduled time.

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NY: NY AG Eric Schniederman announces that he will file a lawsuit against Wells Fargo and BofA.. "robo-signing of mortgage documents, criminal-enforcement actions and fair-lending violations.". which lists lawsuits filed against Wells Fargo Bank in the US. All reported errors will be corrected after verification.