Entries from August 2007 ↓
August 6th, 2007 — American Home Mortgage - Lawsuits
Welcome to the most up to date mortgage website. We give you all the latest mortgage industry news as it happens, everywhere it happens. Keep abreast here RSS feed. Thanks for visiting!
NEW YORK, Aug. 2, 2007 (PRIME NEWSWIRE) — Kirby McInerney & Squire, LLP announces that it has filed a class action lawsuit in the United States District Court for the Eastern District of New York on behalf of all persons who purchased or otherwise acquired the publicly traded securities of American Home Mortgage Investment Corp. (”American Home Mortgage” or the “Company”) (Nasdaq:AHM) between April 26, 2006 and July 30, 2007, inclusive, (the “Class Period”).
The lawsuit alleges that American Home Mortgage and certain of its officers and directors violated Federal Securities laws. According to the complaint, throughout the Class Period defendants failed to disclose, among other things, that the Company was operating without adequate reserves for delinquent loan repurchases or an adequate strategic plan in relation to the volatility of certain of American Home Mortgage’s loan products. As a result of defendants’ failure to fully disclose that the Company was operating without adequate reserves in relation to the Company’s prior sales of certain of American Home Mortgage’s loan products or an adequate strategic plan for the repurchase of delinquent previously sold loans, defendants materially misrepresented to investors the true facts concerning American Home Mortgage’s financial performance and prospects.
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Lawsuits
HARTFORD, Conn., Aug. 3, 2007 (PRIME NEWSWIRE) — The law firm of Schatz Nobel Izard P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Middle District of Florida on behalf of all persons who purchased the publicly traded securities of Health Management Associates, Inc. (”Health Management”) (NYSE:HMA) between January 17, 2007 and July 30, 2007, inclusive (the “Class Period”).
The Complaint charges that Health Management Associates and certain of its officers and directors violated federal securities laws. Specifically, defendants engaged in a scheme to create the impression that the Company had its “bad debt expenses” under control in order to borrow additional money, and to get the Board to approve of their recapitalization plan. On January 17, 2007, Health Management announced a major recapitalization which was completed in March 2007 and which required the company to borrow $3.25 billion of new debt to refinance existing debt and pay shareholders a special one-time cash dividend of $10.00. The Individual Defendants benefited substantially from this one time dividend, given that they were major shareholders and each defendant received large sums of money.
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Lawsuits
ENGLEWOOD CLIFFS, N.J., Aug. 3, 2007 (PRIME NEWSWIRE) — Gardy & Notis, LLP announces that it has filed a class action lawsuit in the United States District Court for the Eastern District of New York on behalf of all persons who purchased or otherwise acquired the publicly traded securities of American Home Mortgage Investment Corp. (NYSE:AHM) between July 26, 2006 and July 27, 2007.
The lawsuit alleges that American Home Mortgage and its Chief Executive Officer and Chief Financial Officer violated the federal securities and defrauded investors by failing to disclose AHM’s inadequate reserves for delinquent loan repurchases. By failing to properly disclose that AHM was operating without adequate reserves in relation to its portfolio of loan products, as well as AHM’s failed plan to repurchase delinquent loans, AHM materially misrepresented to investors the true facts concerning its financial performance and prospects. AHM has since announced that it will lay off most of its employees and shut down almost all of its operations.
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Lawsuits
COLCHESTER, Conn., Aug. 3, 2007 (PRIME NEWSWIRE) — On August 2, 2007, Scott+Scott, LLP filed a class action against American Home Mortgage Investment Corp. (”American Home Mortgage” or the “Company”) (NYSE:AHM) and certain officers and directors in the U.S. District Court for the Eastern District of New York. The action is on behalf of American Home Mortgage common stock purchasers during the period July 26, 2006, through July 27, 2007, inclusive (the “Class Period”), for violations of the Securities Exchange Act of 1934. The complaint alleges that defendants made false and misleading statements and material omissions regarding the Company’s business and operations and that, as a result, the price of the Company’s securities was inflated during the Class Period, thereby harming investors.
If you purchased American Home Mortgage stock during the Class Period and wish to serve as a lead plaintiff in the action, you must move the Court no later than 60 days from today’s date. Any member of the investor class may move the Court to serve as lead plaintiff through counsel of its choice, or may choose to do nothing and remain an absent class member. If you wish to discuss this action or have questions concerning this notice or your rights, please contact Scott+Scott (scottlaw@scott-scott.com, 800/404-7770, 860/537-5537) or visit the Scott+Scott website, http://www.scott-scott.com, for more information. There is no cost or fee to you.
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Government Interaction
Connecticut Banking Commissioner Howard Pitkin Issues Temporary Order to Cease and Desist to American Home Mortgage
Connecticut State Banking Commissioner Howard F. Pitkin issued a Temporary Cease and Desist Order and Summary Suspension Against American Home Mortgage Corp. of New York (“Americanâ€) and two of its affiliates today. The action is the result of an on-going investigation of American for possible violations of Connecticut’s mortgage banking laws. Upon receipt of the order, American is required to cease and desist from failing to timely fund loans, failing to perform agreements with borrowers, failing to cooperate with the Department and from making material misstatements. American and its affiliates are also placed on notice that a maximum fine of $1,000,000 could be levied by the Department.
Continue reading → American Home Mortgage Government Interaction American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Lawsuits
OKLAHOMA CITY, Aug. 2 /PRNewswire/ — On July 31, 2007, a class action lawsuit was filed in the United States District Court for the Eastern District of New York against American Home Mortgage Investment Corp. (NYSE:AHM). The complaint alleges violations of federal securities laws, Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, including allegations of issuing a series of material misrepresentations to the market which had the effect of artificially inflating the market price. The class period is from July 26, 2006 through July 27, 2007.
Plaintiff seeks to recover damages on behalf of the Class. If you are a member of the Class as described above, you may move the Court no later than Monday, October 1, 2007, to serve as a lead plaintiff for the Class. However, in order to do so, you must meet certain legal requirements pursuant to the Private Securities Litigation Reform Act of 1995.
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Lawsuits
PARIS, Aug. 3 /PRNewswire-FirstCall/ — ILOG(R) (Nasdaq: ILOG;Euronext: ILO, ISIN: FR0004042364) today announced that included in itspreliminary financial information for the fourth quarter of fiscal year 2007 and in its preliminary fiscal year end financial information, published on July 26, 2007, is a license agreement with American Home Mortgage valued at $614,000. Based on recent adverse news reported by American Home Mortgage about its liquidity situation, ILOG believes that this receivable may be at risk. Accordingly, net income and earnings per share contained in the Company’s final fourth quarter results and in its final audited financial statements for the fiscal year 2007 may be affected, depending on future developments at American Home Mortgage. ILOG does not believe that it has any other material receivables at risk.
“While unfortunate, we believe that this event will have very limited impact on ILOG given our $55M cash position. We are convinced that Business Rules Management Systems are essential to process improvement in the
financial services sector, which continues to be a significant market for us,” said Pierre Haren, ILOG chairman and CEO. “Of the more than $160M of ILOG revenues in FY07, about 22% came from the banking sector and only 2%
of our revenues were related to the sub-prime and Alt-A mortgage business. This event does not modify our outlook or strategy for the coming year.”
Continue reading → American Home Mortgage Lawsuits
August 6th, 2007 — American Home Mortgage - Blog Posts
Wow! The Home Mortgage Credit Crunch - Global Credit Crunch arrived
I’ve met Paul Knag a couple of times last year and respect his opinion about Home Loans, mortgage loans, the housing market - a market I occasionally write about even though I don’t own a home (and never have - I’ve rented my entire life).
I have worked onarchitectural house plans sites and from that perspective, learned a lot bout the housing market - because I needed to understand why someone would buy an architectural house plan and hire builders or DIY, or a combination of both.
Continue reading → American Home Mortgage Blog Posts
August 5th, 2007 — American Home Mortgage - Blog Posts
The Great Sub-Prime Collapse of ‘07
To distract myself from my rapidly shrinking net worth, I’ve been reading about the credit markets. For me, running what was (from a certain point of view) a dot com company, the tech bubble in 2001 was easy to understand. But I don’t have much experience with the fixed income market and, outside of a general knowledge that sub-prime ARMs are imploding, I’m not familiar with the details.
The problems have been building up for a while. I thought the 5% downturn two weeks ago was a temporary bump but American Home Mortgage’sThursday announcement caused a new wave of panic, resulting in a new sell-off. Longer-term, there are two main problems that concern me.
Continue reading → American Home Mortgage Blog Posts
August 5th, 2007 — American Home Mortgage - Blog Posts
American Home Mortgage…..what do we do now?
-
Real life example #1. One of my pre-foreclosure/short sale Sellers had just agreed, about 10 days ago, to give American Home Mortgage a "Deed in lieu of foreclosure". Well the obvious question is…How is he affected? Can AHM, now that they have filed bankruptcy and are insolvent, still accept his DILOF? I don’t have a clue.
-
Real life example #2: Countrywide, as the first lien holder, has just started foreclosure on another of my listings. The 2nd lien holder, again, is AHM. My Seller received foreclosure papers from AHM this week and has 20 days to respond. Well…what does he do now? Does the fall out of AHM buy him more time?
Continue reading → American Home Mortgage Blog Posts Uncategorized
