The New York County Supreme Court filed a default judgment against two law firms last week for allegedly participating in mortgage rescue scheme, said New York Attorney General Eric Schneiderman.
The judgment went against the Litvin Law Firm and Litvin, Torrens & Associates and the principal attorney Gennady Litvin. The original suit claimed the firms targeted financially vulnerable individuals by offering legal services in order to help them avoid a foreclosure. However, the customers paid hundreds of dollars for those legal services that were never completed.
The judgment ordered the law firms, which recently filed for bankruptcy, to stop its' practices. A full accounting was also ordered to determine a restitution amount for customers.
“Today, these law firms can no longer prey upon vulnerable families desperate to stay in their homes, and my office can begin determining appropriate restitution for their victims,” Schneiderman said. “My office has no tolerance for attorneys who abuse their position in order to defraud consumers, and we will continue to take aggressive action against such schemes. In the meantime, I urge all New Yorkers to use our AGScamHelp app to check out a company claiming to offer mortgage help and get connected to free, trusted assistance through one of our many HOPP partners statewide.”
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