The Fullman Firm - Apr 01, 2012
In the first three months of 2012 our little firm has obtained vacation (reversal) of nine default judgments based on lack of notice. Many of these nine clients had been suffering from wage garnishments and bank levies, which were stopped due to our efforts. I spoke to four more victims of this practice yesterday. We are only one law firm. For every one person we help there must be a dozen who seek help from other firms and a hundred more who don’t seek help and suffer from wage garnishments and bank levies, or pay unreasonable settlements under threat of these collection practices.
Now let’s take a moment to cover how this whole “service of process” system works. I am repeatedly asked during our free consult calls whether the dishonest process server falsified the caller’s signature in order to accomplish the fraud. The answer is “no”, because THE PROCESS SERVER IS NOT REQUIRED TO GET YOUR SIGNATURE ON ANYTHING. Let’s meet the cast of characters in this little vignette.
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Dishonest Process Servers: A Mass Problem We Solve One Client At A Time
Showing posts with label sewer service. Show all posts
Showing posts with label sewer service. Show all posts
Sunday, April 1, 2012
Thursday, January 12, 2012
NY judge: Sloppy service has legal consequences
NEW YORK, Jan 12 (Reuters) – A process server working for a once-prolific foreclosure law firm in upstate New York broke the law by failing to keep any record of papers served in a 2008 foreclosure case, a Long Island judge has ruled, giving defense attorneys a new angle to explore in foreclosure cases as they seek to buy time for their financially beleaguered clients to modify or refinance their mortgages.
Gary Cardi, a former police officer contracted by A&J Process Service — which has offices on the same floor in the same building as the foreclosure firm Steven J. Baum PC — admitted in Nassau County court last October that he didn’t have any record of serving foreclosure papers on Soledad Murillo in 2008. In fact, he told state Supreme Court Justice F. Dana Winslow during an October hearing, he hasn’t kept records of any of the “thousands” of cases he served over the last six years.
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NY judge: Sloppy service has legal consequences
Gary Cardi, a former police officer contracted by A&J Process Service — which has offices on the same floor in the same building as the foreclosure firm Steven J. Baum PC — admitted in Nassau County court last October that he didn’t have any record of serving foreclosure papers on Soledad Murillo in 2008. In fact, he told state Supreme Court Justice F. Dana Winslow during an October hearing, he hasn’t kept records of any of the “thousands” of cases he served over the last six years.
Read the rest of the story:
NY judge: Sloppy service has legal consequences
Friday, May 13, 2011
Adrian process server guilty
Daily Telegram - May 13, 2011
ADRIAN, Mich.
A process server accused of failing to deliver papers and swearing he did faces up to 93 days in jail after pleading guilty to reduced charges Thursday in Lenawee County District Court. William Eugene Millner, 33, of Adrian is to return June 23 for sentencing by Judge Laura J. Schaedler.
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Adrian process server guilty
ADRIAN, Mich.
A process server accused of failing to deliver papers and swearing he did faces up to 93 days in jail after pleading guilty to reduced charges Thursday in Lenawee County District Court. William Eugene Millner, 33, of Adrian is to return June 23 for sentencing by Judge Laura J. Schaedler.
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Adrian process server guilty
Wednesday, April 6, 2011
Perjury trial set for Adrian man
Daily Telegram - Apr 06, 2011
ADRIAN, Mich.
A former process server accused of falsely certifying delivery of legal papers is facing a June 14 trial on felony perjury counts. William Eugene Millner, 33, of Adrian, waived arraignment Wednesday in Lenawee County Circuit Court on five perjury counts. Judge Timothy P. Pickard set the case for trial.
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Perjury trial set for Adrian man
ADRIAN, Mich.
A former process server accused of falsely certifying delivery of legal papers is facing a June 14 trial on felony perjury counts. William Eugene Millner, 33, of Adrian, waived arraignment Wednesday in Lenawee County Circuit Court on five perjury counts. Judge Timothy P. Pickard set the case for trial.
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Perjury trial set for Adrian man
Monday, March 21, 2011
Forster & Garbus, Others Face FDCPA Review
Monday, March 21, 2011
www.northcountrygazette.org
Victims of debt collection firms like Forster & Garbus of Farmingdale and Commack will now be able to report violations of the Fair Debt Collection Practices Act to a new federal agency created by the Dodd-Frank Wall Street Reform and Consumer Protection Act enacted last July.
As of July 21 this year, the new federal agency, the Consumer Financial Protection Bureau (CFPB), will have the authority to issue rules under the FDCPA governing debt collection practices.
Both the Federal Trade Commission and the CFPB will have the power to enforce the FDCPA and any rules issued under it.
The CFPB will prepare annual reports to Congress on the administration of the FDCPA.
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Forster & Garbus, Others Face FDCPA Review
www.northcountrygazette.org
Victims of debt collection firms like Forster & Garbus of Farmingdale and Commack will now be able to report violations of the Fair Debt Collection Practices Act to a new federal agency created by the Dodd-Frank Wall Street Reform and Consumer Protection Act enacted last July.
As of July 21 this year, the new federal agency, the Consumer Financial Protection Bureau (CFPB), will have the authority to issue rules under the FDCPA governing debt collection practices.
Both the Federal Trade Commission and the CFPB will have the power to enforce the FDCPA and any rules issued under it.
The CFPB will prepare annual reports to Congress on the administration of the FDCPA.
Read the rest of the story:
Forster & Garbus, Others Face FDCPA Review
Tuesday, January 11, 2011
Dirty Debt Collectors Sued Under RICO Act
Ben Popken on January 11, 2011 - The Consumerist
A judge has set an interesting precedent, allowing a pack of skeevy debt collectors get sued under the RICO act, the Racketeer Influenced Corrupt Organization law.
The RICO act allows for increased criminal penalties and civil action against members and entities working together in a criminal enterprise. It was created to prosecute the Mafia but has been expanded to be used against the Hells Angels, Major League Baseball, and health insurance.
In this case a debt-purchasing company, law firm and process-serving company are accused of working together to snag borrowers with "sewer service." This is where the process servers tell the courts they've given notice to the clients, but actually haven't. Because that would give them more of a chance to fight back.
Since the clients usually don't show up, it's easy to get default judgments against them.
Read the rest of the story:
Dirty Debt Collectors Sued Under RICO Act
A judge has set an interesting precedent, allowing a pack of skeevy debt collectors get sued under the RICO act, the Racketeer Influenced Corrupt Organization law.
The RICO act allows for increased criminal penalties and civil action against members and entities working together in a criminal enterprise. It was created to prosecute the Mafia but has been expanded to be used against the Hells Angels, Major League Baseball, and health insurance.
In this case a debt-purchasing company, law firm and process-serving company are accused of working together to snag borrowers with "sewer service." This is where the process servers tell the courts they've given notice to the clients, but actually haven't. Because that would give them more of a chance to fight back.
Since the clients usually don't show up, it's easy to get default judgments against them.
Read the rest of the story:
Dirty Debt Collectors Sued Under RICO Act
Thursday, January 6, 2011
Federal judge allows class action lawsuit against law firm accused of 'sewer service'
By IBTimes Reporter | January 6, 2011 10:59 AM EST
A federal judge in New York has okayed a class action lawsuit that accuses Leucadia National Corp., a financial services firm, the debt-collection law firm Mel S. Harris & Associates, and a Brooklyn-based process serving agency Samserv Inc., of a racketeering scheme that allowed them to fraudulently secure default judgments in New York courts against unwitting consumers around the country.
In a ruling issued Dec. 29, U.S. District Judge Denny Chin said the plaintiffs can go ahead with claims that they were the victims of a 'sewer service' scheme allegedly perpetrated by Leucadia and Mel Harris.
The so-called 'sewer service' refers to a practice of throwing debt-collection and other service papers in the sewers near the home of debtors and obtaining a default judgment from the court by filing a phony affidavit attesting to service.
The lawsuit, filed on behalf of up to 100,000 borrowers, claims Leucadia purchased 'portfolios' of defaulted debts for pennies on the dollar and then attempted to collect the full face value of the debts for themselves.
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Federal judge allows class action lawsuit against law firm accused of 'sewer service'
A federal judge in New York has okayed a class action lawsuit that accuses Leucadia National Corp., a financial services firm, the debt-collection law firm Mel S. Harris & Associates, and a Brooklyn-based process serving agency Samserv Inc., of a racketeering scheme that allowed them to fraudulently secure default judgments in New York courts against unwitting consumers around the country.
In a ruling issued Dec. 29, U.S. District Judge Denny Chin said the plaintiffs can go ahead with claims that they were the victims of a 'sewer service' scheme allegedly perpetrated by Leucadia and Mel Harris.
The so-called 'sewer service' refers to a practice of throwing debt-collection and other service papers in the sewers near the home of debtors and obtaining a default judgment from the court by filing a phony affidavit attesting to service.
The lawsuit, filed on behalf of up to 100,000 borrowers, claims Leucadia purchased 'portfolios' of defaulted debts for pennies on the dollar and then attempted to collect the full face value of the debts for themselves.
Read the rest of the story:
Federal judge allows class action lawsuit against law firm accused of 'sewer service'
Most Charges Upheld in Debt Collector Fraud Suit
By NICK MCCANN - Courthouse News - January 6, 2011
A class action against a debt purchaser, law firm and process-service company, which allegedly conspired to obtain millions of dollars in default judgments through "sewer service," can proceed to trial after a federal judge in New York upheld most of the claims.
The plaintiffs claim that the law firm Mel S. Harris & Associates obtained default judgments against them for failure to answer collections complaints, but the alleged debtors say they never knew about the court dates because they were not served with summons and complaints as required by law.
So-called "sewer service" refers to process servers who file affidavits in court purporting to have delivered court papers, but have actually thrown the documents into sewers outside the debtor's home. Among companies that only pay process servers for completed service, employees rely on sewer service to get paid, the class claims.
The debt-purchasing company Leucadia National and shell companies L-Credit and LR Credit filed over 100,000 consumer debt collection actions since 2006 in New York City civil court. The class action claims the Mel S. Harris & Associates law firm represented Leucadia 99 percent of the time, and Leucadia regularly hired the Samserv process-serving agency.
U.S. District Judge Denny Chin noted from the complaint that a single Mel Harris employee named Todd Fabacher signed 40,000 affidavits claiming the debt claims were accurate.
Read the rest of the story:
Most Charges Upheld in Debt Collector Fraud Suit
A class action against a debt purchaser, law firm and process-service company, which allegedly conspired to obtain millions of dollars in default judgments through "sewer service," can proceed to trial after a federal judge in New York upheld most of the claims.
The plaintiffs claim that the law firm Mel S. Harris & Associates obtained default judgments against them for failure to answer collections complaints, but the alleged debtors say they never knew about the court dates because they were not served with summons and complaints as required by law.
So-called "sewer service" refers to process servers who file affidavits in court purporting to have delivered court papers, but have actually thrown the documents into sewers outside the debtor's home. Among companies that only pay process servers for completed service, employees rely on sewer service to get paid, the class claims.
The debt-purchasing company Leucadia National and shell companies L-Credit and LR Credit filed over 100,000 consumer debt collection actions since 2006 in New York City civil court. The class action claims the Mel S. Harris & Associates law firm represented Leucadia 99 percent of the time, and Leucadia regularly hired the Samserv process-serving agency.
U.S. District Judge Denny Chin noted from the complaint that a single Mel Harris employee named Todd Fabacher signed 40,000 affidavits claiming the debt claims were accurate.
Read the rest of the story:
Most Charges Upheld in Debt Collector Fraud Suit
Tuesday, January 4, 2011
A Lawsuit That Dirty Debt Collectors Should Be Worried About
By ABIGAIL FIELD - 01/04/11 - Daily Finance
Federal Circuit Court Judge Denny Chin just issued an opinion in a consumer class action case that should send chills down the spines of debt collectors, perhaps including foreclosure-mill law firms and their process servers, nationwide.
Judge Chin decided that plaintiffs alleged enough information about the debt collectors in this case -- a law firm, a process-serving company and a debt-buying company -- to sue them for being a criminal enterprise under the Racketeer Influenced Corrupt Organization (RICO) law. Judge Chin also allowed claims under the Fair Debt Collection Practices Act.
Why should other companies in and related to the debt-collection business be so nervous?
Well, Monique Sykes and the other plaintiffs claim that the defendants' business model is as follows:
- Buy debt with little documentation that the debt is accurate.
- File lawsuits claiming personal knowledge of the debt but using robo-signed affidavits instead.
- Deliberately fail to tell the "debtor" that the lawsuit is pending (a practice called "sewer service").
- Get a "default" judgment against the debtor when she fails to show up in court to defend herself.
- Enforce the judgment, including by freezing the debtor's bank account.
And remember, JPMorgan Chase (JPM) whistle-blower Linda Almonte said Chase's records about its customers' debts were often false, and that executives routinely robo-signed debt-related documents. Also, the The New York Times has more generally reported that inaccurate debt records and robo-signed documents are common. Similarly, sewer service is a common enough practice to have a name. So it's hard to imagine that the three businesses at the center of this case are the only ones that have this business model and thus are vulnerable to RICO charges.
Read the rest of the story:
A Lawsuit That Dirty Debt Collectors Should Be Worried About
Federal Circuit Court Judge Denny Chin just issued an opinion in a consumer class action case that should send chills down the spines of debt collectors, perhaps including foreclosure-mill law firms and their process servers, nationwide.
Judge Chin decided that plaintiffs alleged enough information about the debt collectors in this case -- a law firm, a process-serving company and a debt-buying company -- to sue them for being a criminal enterprise under the Racketeer Influenced Corrupt Organization (RICO) law. Judge Chin also allowed claims under the Fair Debt Collection Practices Act.
Why should other companies in and related to the debt-collection business be so nervous?
Well, Monique Sykes and the other plaintiffs claim that the defendants' business model is as follows:
- Buy debt with little documentation that the debt is accurate.
- File lawsuits claiming personal knowledge of the debt but using robo-signed affidavits instead.
- Deliberately fail to tell the "debtor" that the lawsuit is pending (a practice called "sewer service").
- Get a "default" judgment against the debtor when she fails to show up in court to defend herself.
- Enforce the judgment, including by freezing the debtor's bank account.
And remember, JPMorgan Chase (JPM) whistle-blower Linda Almonte said Chase's records about its customers' debts were often false, and that executives routinely robo-signed debt-related documents. Also, the The New York Times has more generally reported that inaccurate debt records and robo-signed documents are common. Similarly, sewer service is a common enough practice to have a name. So it's hard to imagine that the three businesses at the center of this case are the only ones that have this business model and thus are vulnerable to RICO charges.
Read the rest of the story:
A Lawsuit That Dirty Debt Collectors Should Be Worried About
Tuesday, August 10, 2010
New Developments in Process Server Investigation
I-Team: New Developments in Process Server Investigation
Posted: Aug 10, 2010
LAS VEGAS -- There are new developments and a new arrest in the ongoing investigation into a process serving company and the court system.
That company, On Scene Mediation, now has two employees under suspicion of falsifying court documents and putting upwards of 20,000 cases at risk. It could cost $150,000 in taxpayer money to sort through the cases involved.
The company owner and employee are accused of saying they served papers but didn't. Maurice Carroll, a former Metro police officer, was running the company out of his North Las Vegas home. He is facing 35 felonies and a court date next week.
Visalia Coleman, one of Carroll's employees, is facing eight charges. She was arrested after a traffic stop on Monday. Metro and the courts say the two and other workers at On Scene Mediation lied on court documents about serving papers.
Read the rest of the story:
I-Team: New Developments in Process Server Investigation
Posted: Aug 10, 2010
LAS VEGAS -- There are new developments and a new arrest in the ongoing investigation into a process serving company and the court system.
That company, On Scene Mediation, now has two employees under suspicion of falsifying court documents and putting upwards of 20,000 cases at risk. It could cost $150,000 in taxpayer money to sort through the cases involved.
The company owner and employee are accused of saying they served papers but didn't. Maurice Carroll, a former Metro police officer, was running the company out of his North Las Vegas home. He is facing 35 felonies and a court date next week.
Visalia Coleman, one of Carroll's employees, is facing eight charges. She was arrested after a traffic stop on Monday. Metro and the courts say the two and other workers at On Scene Mediation lied on court documents about serving papers.
Read the rest of the story:
I-Team: New Developments in Process Server Investigation
Saturday, August 7, 2010
Hearing master may look into process server's case
By JEFF GERMAN
LAS VEGAS REVIEW-JOURNAL - August 6, 2010
Process server accused of not delivering court papers in debt collection lawsuits
A process serving scandal in Las Vegas Justice Court is so extensive it requires a special hearing master to determine if the rights of thousands of civil case defendants were harmed, court officials said Thursday.
"The number of cases that may be involved is overwhelming," Justice of the Peace Melissa Saragosa said. "The court is very concerned about default judgments that may have been wrongly entered based on fraudulent affidavits. We are still trying to get a handle on the situation to determine how far it extends and what the court may be able to do in response."
Court Executive Officer Steve Grierson said officials plan to ask the county for $60,000 to hire a hearing master, and may need more money if the damage assessment requires additional work.
At the center of the process serving scandal is Maurice Carroll, a 41-year-old former Las Vegas police officer, and his company, On Scene Mediations, which authorities believe has operated without a license since 2003.
Read the rest of the story:
Hearing master may look into process server's case
LAS VEGAS REVIEW-JOURNAL - August 6, 2010
Process server accused of not delivering court papers in debt collection lawsuits
A process serving scandal in Las Vegas Justice Court is so extensive it requires a special hearing master to determine if the rights of thousands of civil case defendants were harmed, court officials said Thursday.
"The number of cases that may be involved is overwhelming," Justice of the Peace Melissa Saragosa said. "The court is very concerned about default judgments that may have been wrongly entered based on fraudulent affidavits. We are still trying to get a handle on the situation to determine how far it extends and what the court may be able to do in response."
Court Executive Officer Steve Grierson said officials plan to ask the county for $60,000 to hire a hearing master, and may need more money if the damage assessment requires additional work.
At the center of the process serving scandal is Maurice Carroll, a 41-year-old former Las Vegas police officer, and his company, On Scene Mediations, which authorities believe has operated without a license since 2003.
Read the rest of the story:
Hearing master may look into process server's case
Monday, April 13, 2009
Cuomo launches probe into process servers
BY ROBERT E. KESSLER | robert.kessler@newsday.com
12:53 AM EDT, April 13, 2009
State Attorney General Andrew Cuomo has launched a wide-ranging investigation of possible fraud in the process-serving industry, in which thousands of people may have had their financial accounts frozen or wages garnished without any knowledge of court proceedings against them, according to officials.
A spokesman for Cuomo, Richard Bamberger, confirmed the existence of the probe and said it's an important issue in a time of increasing economic hardship. He declined to elaborate on the scope of the investigation or on firms under scrutiny.
Sources familiar with it, however, said that the investigation includes practices on Long Island and around the state. There could be as many as tens of thousands of people statewide affected, the sources said.
Two people said last week they were victims of so-called "sewer service," a term used to indicate that a person was not served and the summons could just as well have been thrown down a sewer.
Read the rest of the story:
Cuomo launches probe into process servers
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12:53 AM EDT, April 13, 2009
State Attorney General Andrew Cuomo has launched a wide-ranging investigation of possible fraud in the process-serving industry, in which thousands of people may have had their financial accounts frozen or wages garnished without any knowledge of court proceedings against them, according to officials.
A spokesman for Cuomo, Richard Bamberger, confirmed the existence of the probe and said it's an important issue in a time of increasing economic hardship. He declined to elaborate on the scope of the investigation or on firms under scrutiny.
Sources familiar with it, however, said that the investigation includes practices on Long Island and around the state. There could be as many as tens of thousands of people statewide affected, the sources said.
Two people said last week they were victims of so-called "sewer service," a term used to indicate that a person was not served and the summons could just as well have been thrown down a sewer.
Read the rest of the story:
Cuomo launches probe into process servers
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