There are just two mortgage bailout firms operating legally in Indiana, and state Attorney General Greg Zoeller has filed suit against three that are not.
Florida-based Mortgage Solutions Clearing House and California-based Federal Modification Law Center -- neither of which filed a required $25,000 surety bond with the AG's office -- are accused of demanding nearly $2,000 in upfront payments from two customers but failing to deliver promised home loan workouts. They are charged with violations of the Mortgage Rescue Protection Act and the Home Loan Practices Act. A third company, California-based Mortgage Auditing Solutions, is additionally charged with violating the Credit Services Organization Act and the Deceptive Consumer Sales Act. It, too, neglected to register the surety bond with Zoeller's office.
The AG is asking the court for injunctions against all three firms, restitution for their victims, civil fines, and investigative costs. He said he is taking action now to show mortgage bailout scammers that their behavior will not be tolerated in his state.