State Looks Into Activities of Foreclosure-Rescue Companies

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New London Day 
August 11, 2009
Howard, Lee

Connecticut Attorney General Richard Blumenthal has launched a probe of First Legal Group, P.A., Nationwide Home Relief Law Group, P.A., and three individuals involved with the firms for allegedly charging 200 or more homeowners across the state a total of $750,000 to avoid foreclosure. The upfront fees were supposed to be used for foreclosure mediation services, but the firms hired lawyers who did not complete any work on the homeowners' behalf. Blumenthal is collaborating with the state Office of the Chief Disciplinary Counsel to take action against the foreclosure-rescue firms for operating without a state license. The firms may have been operating in more than six other states, including Florida.

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