According to the Charlotte Observer: North Carolina's attorney general is investigating the state's 15 largest mortgage lenders, questioning them about procedures used in foreclosure.Attorney General Roy Cooper has asked each of the lenders to stop foreclosure proceedings during the review. He wants the companies to show that their procedures comply with the law.
Cooper says the investigation began in late September amid questions about Ally Financial Inc.'s GMAC Mortgage policies.
Ally and two other banks have halted foreclosures in 23 states after evidence surfaced that their employees or outside lawyers signed documents without reading them or filed inaccurate paperwork. Numerous state and federal officials have been ramping up pressure on the mortgage industry over concerns about potential legal violations.
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