Troubles Mount for Ocwen in Maryland and Around the Country Due to Mounting Regulatory Actions and Private Lawsuits, and Ocwen Stock Plummets
Ocwen, which has an outsized presence in Maryland and which is the largest subprime mortgage servicer in the United States, has settled allegations by New York’s financial regulator, but still faces trouble in California. It is also in serious financial trouble: its stock closed at $7.71 on January 21, which is down from $16.01 a month ago, and down from $49.13 a year ago.
As his press release explains, New York’s Benjamin Lawsky, the Superintendent of Financial Services, alleged that Ocwen had a “serious conflict of interests” and had engaged in a variety of servicing misconduct including
(a) robo-signing, (b) inaccurate affidavits and failure to properly validate document execution processes, (c) missing documentation, (d) wrongful foreclosure, (e) failure to properly maintain books and records, and (f) initiation of foreclosure actions without proper legal standing.