During the foreclosure crisis, many servicers lost critical paperwork, relied on faulty documents, and made mistakes on loan modifications.
Early last year, five banks signed on to the settlement over their use of mass-produced, faulty documents to evict homeowners.
But many are discovering they were given faulty documents by developers, or have guarantees with conditions that make them worthless.
One action the agency is considering, these people said, focuses on whether JPMorgan used faulty documents in lawsuits to collect overdue credit card debt.
Amid a surge in foreclosures, state attorneys general accused the banks of using faulty documents without reviewing them and improperly seizing homes.
In the credit card investigation, people briefed on the case said the comptroller's office had discovered that JPMorgan was relying on faulty documents when pursuing lawsuits against delinquent customers.
Poor quality, faded color images of the city, shown at jerky, irregular intervals, create a perfect portrait of a place — and suggest the same Richter-Tuymans idea of photographic images as faulty documents of memory and history.
While lenders previously acknowledged that they relied on faulty documents to push through foreclosures, the banks claimed borrowers were rarely evicted by mistake, including military personnel protected by federal law.
Mr. Curry's agency, for one, is considering an enforcement action against JPMorgan for using faulty documents in lawsuits against customers who fell behind on their credit card bills.
All of "the audits conclude that the banks effectively cheated taxpayers by presenting the Federal Housing Administration with false claims: They filed for federal reimbursement on foreclosed homes... using defective and faulty documents".
The company has apologized for illegally foreclosing on the families of active-duty military members fighting in Iraq and Afghanistan, and a set of confidential federal audits accuse the company of abusing the Federal Housing Administration by deploying faulty documents when seeking reimbursement on foreclosures of government-guaranteed loans.
