Citigroup is the most-shorted stock on any major U.S. exchange. Its position at the top of the pack is due to the bank's stock price and ongoing concern about its balance sheets and mortgage foreclosure practices.
On Oct. 20, the state's chief judge ended robo-signing by requiring a special affirmation from the banks' attorneys. They now must swear that they know the banks' documents are true because they checked the paperwork. The result: nearly empty courtrooms statewide.
The Senate Banking Committee held its second hearing on problems in mortgage servicing today, and the news is grim.
Lender Processing Services plays a key role in the mortgage foreclosure process as a go-between for banks and lawyers handling foreclosures. But two class actions challenge how LPS and a similar firm do business. At stake: Potentially billions of dollars in attorney's fees.