“This same sense of urgency should apply even when the targets of the committee’s investigation are banks.”
On Feb. 10 the committee unanimously voted to investigate “the foreclosure crisis including wrongful foreclosures and other abuses by mortgage servicing companies,” Cummings said.
“If mortgage servicing companies are allowed to disregard requests for documents that are integral to this investigation, the committee’s integrity will be called into question and, more importantly, abuses may continue,” he wrote.
Tuesday's letter from Cummings marks the fourth he has sent to Issa in the past six months urging the House panel to take action on wrongful foreclosures and alleged abuses by mortgage servicing companies.
On May 24, Cummings sent a letter to Issa requesting the committee issue subpoenas to six mortgage servicing companies that have refused to provide documents relating to foreclosure abuses.
“The best long-term solution that our committee can offer in response to illegal acts committed by mortgage servicing companies is vigorous investigation, oversight, and reform,” Cummings said. “Inaction will tacitly reward abuse and signal tolerance for major corporate wrongdoing.”