BIRMINGHAM: The City is suing Wells Fargo, Regions Bank, and Countrywide- accusing the 3 lenders of violating the Fair Housing Act through predatory lending practices. The suit also accused the banks of violating other state laws, and profiting from their wrongdoing.
The Birmingham City Council passed a resolution earlier this year to bring the lawsuit. The City claims to have lost tax revenue, due to the trickle-down effect of foreclosures in the city. The suit also claims foreclosures forced Birmingham to spend more taxpayer money on services including maintaining or demolishing abandoned properties, and increasing police and fire protection in hard-hit areas.
The lawsuit seeks unspecified damages and compensation, and also requires the lenders to stop what it calls "predatory lending practices."
The law firm of Beasley Allen, along with Birmingham lawyer Dagney Johnson-Walker, are representing the City.
Email
Facebook
Google
Twitter
Favorites
More
Advertisement