is reporting from
HOUSING: Judge denies defense request in foreclosure case
MortgageAuditor | November 22, 2008 at 12:59 pmby
172 views | 0 Recommendations | 0 comments
A judge denied a request Friday to toss out two civil charges against a group of defendants accused of running a fictitious foreclosure-prevention company, said a district attorney prosecutor.
Five people who ran a Carlsbad business were arrested in May on charges of conspiracy, grand theft and deceitful practices as foreclosure consultants.
Authorities said the group deceived homeowners facing foreclosure into believing that a "federal land grant" would prevent the lender from seizing their houses and then collected rent while doing nothing to stop the foreclosure.
Defense attorneys argued Friday that the five defendants should not be charged with rent skimming or acting improperly as foreclosure consultants, but the judge rejected the arguments and upheld the legitimacy of the charges, said Stephen Robinson, the county's prosecutor on the case.