CA Lt. Governor Submits Letter to DOJ re Eminent Domain
September 10, 2012
On September 10, California Lieutenant Governor Gavin Newsom sent a letter to Attorney General Eric Holder and Acting Assistant Attorney General Joseph Wayland at the U.S. Department of Justice (DOJ) regarding industry and trade group reactions, including those of ASF, to the proposed use of eminent domain to seize mortgage loans, particularly in San Bernardino County, CA. Lt. Gov. Newsom’s letter asks the DOJ to review potential investor and Federal Housing Finance Agency (FHFA) pressure in such jurisdictions, describing investors in private label securities who have said that they will not invest with servicers, originators, or other industry participants in affected areas as violating various federal antitrust and redlining laws.
Lieutenant Governor Newsom's Letter to DOJ