ANOTHER HEADACHE FOR OCWEN | Ocwen Financial, one of the nation’s largest mortgage servicing companies, is facing scrutiny over conflicts of interest. The claims are the latest hurdle for a company that has increasingly come under regulatory fire as large banks have sought to shed the servicing of their most problematic subprime loans, Michael Corkery writes in DealBook. The concerns were disclosed in a letter to Ocwen released on Wednesday by New York State’s top financial regulator, Benjamin M. Lawsky. Mr. Lawsky wrote that potential conflicts of interest between Ocwen and four other publicly traded companies of which William C. Erbey is chairman could “harm borrowers and push homeowners unduly into foreclosure.” Ocwen has said that it maintains an arm’s-length business relationship with other companies, which rent foreclosed houses and sell houses online and that Mr. Erbey has recused himself from any discussions where the businesses of the five companies overlap.
Posted on: Sun, 13 Apr 2014 19:41:22 +0000