California Bar Obtains Attorney Resignations From Two, Files Charges Against Another In Connection With Alleged Loan Modification Scams

From The State Bar of California:

• Continuing its aggressive pursuit of lawyers who commit professional misconduct by taking advantage of vulnerable homeowners, The State Bar of California announced [Thursday] that it has obtained the resignations of two lawyers and filed charges against a third for their loan modification activities. The State Bar's special team on loan modification complaints coninues to investigate more than four hundred active complaints from consumers about lawyers' roles in loan modification scams.

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Among the State Bar's recent results:

• On August 3, State Bar prosecutors obtained attorney Christian Dillon's (Bar No. 89376) resignation with charges pending. At that time, Dillon was under investigation for consumer complaints received by the bar regarding his affiliation with USMAC Law Group.

• On August 4, State Bar prosecutors obtained attorney Nabile Anz's (Bar No. 183324) resignation with charges pending. Anz ran the Federal Loan Modification Law Center in Irvine.(1)

• On August 5, State Bar prosecutors filed an application against attorney Christopher Diener (Bar No. 187890) who was affiliated with Home Relief Services, to have Diener enrolled involuntarily inactive. Bar prosecutors allege that Diener misrepresented the scope of his services to clients, collected advanced fees from clients under false pretenses, and failed to perform any services to obtain a loan modification on behalf of his clients. A hearing on that application is scheduled for August 28 in State Bar Court.(2)

The State Bar's Interim Chief Trial Counsel Russell Weiner issued this statement:

• "The State Bar of California is firmly committed to its mission of protecting the public. As long as the need exists, this office will continue to devote substantial resources to the investigation and prosecution of attorneys who lose sight of their ethical responsibilities and take undue advantage of desperate homeowners under the pretense of helping them with mortgage loan modifications."(3)

For The State Bar of California press release, see State Bar Continues Pursuit Of Attorney Loan Modification Fraud.

(1) The Federal Trade Commission recently filed suit against this outfit. See FTC v. Federal Loan Modification Law Center LLP, et al. Go here for links to the FTC press release and some of the relevant court documents filed against this operation.

(2) California Attorney General Jerry Brown recently filed suit against this outfit. See People v. Home Relief Services, et al. (go here for California AG press release). Go here for Orange County Register story on the local D.A. raid of homes tied to this outfit's operators.

(3) Attorneys involved in the for-profit, loan modification racket may want to read over ETHICS ALERT: Legal Services to Distressed Homeowners and Foreclosure Consultants on Loan Modifications, a California State Bar advisory addressing the relationship between attorneys and non-attorney loan modification operators. UnauthPractOfLawTheta