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Accusations In Philadelphia Of Improper Foreclosures On Homes

By Mike Dunn

PHILADELPHIA (CBS) -- City Council plans a hearing on whether residents who have foreclosed on their mortgages are getting proper notice before the Sheriff's office takes action.

Fourth District Councilman Curtis Jones said his office has heard repeated complaints from residents who are behind in mortgage payments and that they're not getting the proper notice of the start of foreclosure proceedings.

"People are saying that they got no notice." said Jones, "People are saying that their signatures were falsified on documents. Therefore was the service correct? Was it timely? Did it allow the defendants to adequately respond? When one person says something, its an isolated instance. When a dozen people say something, we may have a greater problem. "

So Jones plans to call a hearing to give residents a chance to come forward, and to get answers from both the Sheriff's office and the law firms that are contracted to carry out the foreclosures.

"We're not pointing any fingers. It could be a problem in the service of the law firms. It could a problem innately within the Sheriff's Department."

State law requires at least thirty days notice of a foreclosure. Jones says the notice is crucial, as it can give homeowners time to seek outside help or bridge loans, once they realize the severity of the situation. No date has yet been set for the hearing.

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