Virginia Attorney General Ken Cuccinelli will investigate mortgage foreclosure practices in the state, as reports of mortgage lenders potentially filing improper or fraudulent documents bubble up around the country.
Cuccinelli said Wednesday the he’s joining a 49-state working group that will investigate the mortgage industry’s practice of “robo-signing” in which lenders sign off on foreclosure documents without first reviewing them. The practice led to the accelerated eviction of borrowers from their homes and sparked a call for a nationwide freeze on bank foreclosures.
“Obviously, this issue affects peoples’ homes as well as the economy,” said Cuccinelli. “This probe will be thorough, expeditious and fair to both homeowners and lenders.”
