From the Star Ledger:
Hudson City Savings Bank is in compliance with the state court’s new mortgage foreclosure filing standards, according to a July 12 document that was made public yesterday.
The move means the bank is the first of more than two dozen of the country’s biggest mortgage lenders and servicers to satisfy the court’s exhaustive review of foreclosure processes, according to documents posted to the court’s website.
The decision comes nearly seven months after state Supreme Court Chief Justice Stuart Rabner issued a three-part initiative to investigate what he feared was rogue residential mortgage foreclosure filings, noting a staggering increase in caseloads and concerns the judges had inadvertently “rubber-stamped” files that had inadequate or inaccurate paperwork. Lenders and servicers were required to provide extensive documentation outlining how they handled foreclosure proceedings.
In his decision, retired Judge Walter Barisonek — serving as one of two special masters overseeing the cases — wrote that Hudson City Savings Bank has “sufficient policies and procedures in place to demonstrate affirmatively that there should not be irregularities in their handling of foreclosure proceedings in this state.”
The court’s actions have effectively halted foreclosure filings since December while lenders and servicers work with court-appointed special masters to review hundreds of pages of paperwork.