Tuesday, July 17, 2012

Slumlord Billionaire: L.A Sues US Bancorp


Los Angeles has sued US Bancorp, accusing a unit of the fifth-largest U.S. commercial bank of becoming one of its biggest slumlords and blighting the city by allowing hundreds of foreclosed homes to fall into disrepair, according to a HuffPo report.

Monday's civil lawsuit by the office of Los Angeles City Attorney Carmen Trutanich alleges that US Bank NA has taken title to more than 1,500 foreclosed residential properties in the city in its role as trustee for various mortgage-backed securities trusts.

Los Angeles said that at least since July 2008, US Bank has "disregarded virtually every one of its legal duties and responsibilities as owner, resulting in the creation and maintenance of an alarming number of vacant nuisance properties and substandard occupied housing units."

It said the bank has ignored repeated demands that it comply with the law, causing hundreds of homes to become uninhabitable or "public nuisances," and resulting in illegal evictions of hundreds of tenants from the second most-populous U.S. city.

Read all about it at http://www.huffingtonpost.com/2012/07/17/los-angeles-sues-us-bancorp_n_1679491.html?utm_hp_ref=business

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