Grand jury indicts DOCX of 136 counts of fraud in Boone County

Tuesday, February 7, 2012 | 1:23 p.m. CST; updated 5:26 p.m. CST, Tuesday, February 7, 2012

COLUMBIA — A Boone County grand jury has indicted Georgia company DOCX LLC and its founder, Lorraine Brown, on 136 counts of forgery and making false declarations related to mortgage documents.

The indictment alleges DOCX generated fraudulent signatures on 68 notarized deeds of release for properties in Boone County and submitted these to the Recorder of Deeds.


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The practice of generating these forged documents, known as robo-signing, was first reported by "60 Minutes" on Aug. 7, 2011. Robo-signees are persons posing as bank personnel or other authorized lenders who sign falsified mortgage documents, which are then used to authorize foreclosures on properties in default.

Banks that were required to produce these documents during foreclosure proceedings did not have them and outsourced responsibility for gathering them to a line of subsidiary companies. DOCX, a subsidiary of Lender Processing Services Inc., is alleged to have created these mortgage documents fraudulently, which were then used to foreclose on properties in Boone County.

Missouri Attorney General Chris Koster, who sought the indictments, said that the "indictment reflects our firm conviction that when you sign your name to a legal document, it matters."

Although DOCX no longer exists, according to reporting by "60 Minutes," it could face fines of up to $10,000 per forgery conviction and $2,000 for each false declaration conviction. Brown could also be sentenced to as many as seven years imprisonment for each indictment count.

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Harold Sutton February 7, 2012 | 2:55 p.m.

..."Banks that were required to produce these documents during forclosure proceedings did not have them and outsourced responsibility for gathering them to a line of subsidiary companies....

That is fishy smelling!! Wheeling and dealing.. sounds a lot like something even the Mafia would be hesitant to try.

The people who have been fraudulently foreclosed on; are they going to be made whole? The grief, humiliation, and distress that they had to endure?

So how about the lending institutions who participated in this; they should be outed, perhaps a public example should be made of them. After all, the people who were evicted were humiliated openly.

I suggest a list of names of the lending institutions, their officers at the time, and the number of foreclosures each.

(Report Comment)
Richard Saunders February 7, 2012 | 5:29 p.m.

While I applaud this action, it may just be another white-wash job. Why? Because the real crimes occurred long before the DOCX cover-up began. Thanks to creation of MERS, there are hardly ANY clear titles remaining within the State of Missouri. Almost every mortgage note issued in the last ten years has a broken deed of trust, as MERS was designed solely to circumvent state property laws (by not filing note transfers).

The crimes of DOCX were designed to cover-up the crimes of MERS, as these crimes are so heinous as to be beyond belief. So heinous that AG Koster has never even mentioned them publicly that I've seen (instead focusing on the cover-up).

What has MERS done that is so horrible as to be unmentionable? Well, they've broken the chain-of-title, and with it, split apart every mortgage note and its corresponding deed of trust. Now, what does this mean?

Well, from a homeowner's perspective, it means that there is no entity with a legal standing to demand foreclosure. The loan in reality is now just another unsecured debt. This is where DOCX comes into play, as they fabricated paperwork in an effort to recreate the chain, falsifying data and forging Linda Green's signature ("she" even "signed" the release of the deed on Obama's Chicago house).

Of course, it doesn't take a genius to realize that the powers that be are not going to allow everyone to have a free house, which is why they've been talking of a settlement with the banking industry in an effort to sweep the whole thing under the rug.

Now, I really haven't gotten that far into the crimes of MERS in this space. But there are plenty more, from fraudulently packaging the mortgages into securities purchased by investors (like say, your retirement fund), to multiple "lenders" foreclosing on the same property (even ones without a default, or even a mortgage!).

So, like I said above, I'm all for this action. But more importantly, it's time for AG Koster to do his job and protect property owners from the predatory database (can't call it a company, as it has NO employees) called MERS. If the people using MERS had acted in a legal manner, then DOCX would've never existed, as there would be no reason to have to manufacture documents simply to foreclose on a defaulted note.

But MERS has no other methods than fraud, as it is wholly fraud itself.

If someone at the Missourian would interview Mr. Koster about this, I'd greatly appreciate it, as I've heard nothing relevant from him on the subject.

(Report Comment)
Richard Saunders February 7, 2012 | 5:35 p.m.

Harold, thanks to the MBS market, there ARE no lenders to put on the hook, as they sell the loans as fast as they can to Fannie, Freddie, or my own personal savior, Ginnie.

The only culpable party is MERS, and it has no employees.

(Report Comment)
Harold Sutton February 7, 2012 | 8:31 p.m.

Well guys, I am not able to understand why the situation has gotten to be like this.
But I do have an opinion that is a repeat I copied down from an old Farmer;

Quote: Keep skunks, Bankers, Lawyers, Insurance salesmen and Politicians at a distance!!!

(Report Comment)
Harold Sutton February 8, 2012 | 6:51 a.m.

I appologize to the Skunks; their only distinguishing characteristic is a strong smell and that mainly is a defensive action.

(Report Comment)

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