Whether we call it bailout or purchase assistance solution (PAS), the fact of the matter is that the Mortgage Field Services Industry is top heavy with debt and its foundation, composed of Minority Females and Labor, are poised to pull out the foundational underpinnings. And to that point, almost all Minority Females and Labor are eligible for food stamps and many of they, as did I while in the Industry, collect them. The latest scandal involving Fannie Mae (FNMA), Reverse Mortgage Solutions (RMS) and the US Department of Housing and Urban Development (HUD), is demonstrating precisely how dangerous it is to rely upon National Association of Mortgage Field Services (NAMFS) Order Mills. An even more terrifying fact is that the FNMA website is insecure in that it DOES NOT employ https. Over the past week, Foreclosurepedia has been bringing an average of a quarter million dollars worth of fraud perpetrated by Shari Nott and National Field Network (NFN) upon FNMA, RMS, and HUD. Nott has hired the renowned ambulance chaser, Victor Deutch, to orchestrate a campaign designed to threaten and intimidate Minority Females and Labor. Deutch’s working theory appears to be issue Cease and Desist (C&D) Letters and everyone will cower. Deutch crossed the line, though, when he served Foreclosurepedia with a C&D, last week.
And how bad is it at the higher levels of, say FNMA? Well, while Timothy J. Mayopoulos, FNMA’s President and Chief Executive Officer (
And when you talk about a cesspool, Mayopoulos is up to his neck in it. Parading around as a liberal, Mayopoulos was banging Cincinnati-based Fifth Third Bancorp’s former chief legal officer, Heather Russell. And all bullshit aside, Fifth Third Bancorp has one hell of a financial interest in Fannie Mae and its sibling company, Freddie Mac, selling off mortgages which get — and you are going to love it as this is a repeat of 2008 — bundled into securities guaranteed by the government. While Fifth Third canned the adulteress, Russell, they kept Mayopoulos whom had known Mayopoulos since his Bank of America days from where he moved on to Fannie Mae.
Is Mayopoulos banging Shari Nott? I don’t know. What I do know is that he is giving her some of the most total and complete protection against criminal fraud I have seen. NAMFS has a gambling problem and Minority Females and Labor continue bailing them out. It’s not simply that NAMFS Members are predators and are being facilitated with the perfect environment to allow this type of financial rape occur by financial institutions and government sponsored enterprises (GSE), the financial institutions and GSE’s are refusing to even obey their own laws by periodically performing financial audits. As time has historically shown, this Industry has never dealt with something until there is an emergency on the table and then it attempts to fein guilt and threaten and intimidate with litigation against those whom might come forward. This, in conjunction with NAMFS Master Service Agreements (MSA) such as they latest one uttered by Mortgage Contracting Services (MCS), reads like an indictment sheet waiting to happen. These unconstitutional MSA’s will be the ultimate undoing of Eric Miller, Executive Director, NAMFS, and his financial terrorists. Miller, whose salary is over $120,240 per year; Miller’s salary which consumes over EIGHTY ONE PERCENT of all NAMFS Member dues, is the poster child for why IRS should step in and audit. Confidence is a very fragile thing and it is rapidly eroding.
Moral hazard. When we talk about moral hazard, the important thing to remember is that for the past week in which Foreclosurepedia has been in contact with FNMA, RMS, and HUD, not a moment has passed without yet another spreadsheet being brought forth proving the fraud at NFN. Moreover, though, it also tends to demonstrate that no one is performing due diligence from the financial auditing point-of-view, required by the Office of the Comptroller of the Currency (OCC) and the Federal Reserve Board (FRB).
The only one, to date, whom has stated there may be a problem to investigate, is HUD. In fact, HUD proactively began referring everything over to the HUD SFAM and HUD NSC. And while we are able to confirm that FNMA is financially auditing their well over a million dollar cluster fuck of fraud, FNMA is not transparent and RMS continues to bury its head in the sand praying to whatever god they believe in that the industrial espionage committed by Amanda Buczek will stay off the radar. That is just part of the story.
Shari Nott and her NFN colleagues have been planning their exit strategy for quite some time. In fact, for months, Nott, Crandell and others began creating a series of new companies. First, National Field Network (NFN), does not exist. National Management and Preservation Services LLC is one of the legal names which Shari Nott uses. NFN Now LLC is another. All the Right Movers is an NJ-based eviction company, owned by higher ups at NFN, that does evictions for NFN at a lower discount than other jobbers. All The Right Movers, New Jersey’s Concierge Moving Company. Chik-Chak Station is a thrift store in NJ, also owned by higher ups at NFN, that “buys” items from All the Right Movers after the 30 day storage period ends. https://www.facebook.com/chikchakstation/. Commigrate is a call center, also owned by higher ups at NFN, that provides after hour phone services. The one review on the website is from a manager at NFN using a pseudonym.
Finally, Eviction Support Services, is yet another company in which the Axis of Fraud Nott runs has kicked into gear. We haven’t seen Ponzi Schemes, the likes of this, since Eric Miller was out and about preaching the praises of HomeStar and and Micheal Breese. What is most troubling is the fact that Fannie Mae, Reverse Mortgage Solutions, and other NAMFS Members are poised to begin sending work back to Nott, et al. I want that to sink in, for just a moment. Fannie Mae and National Field Network lawyers have full knowledge that fraud has been committed; it continues to be committed; and that under a different name, it will continue to be committed.
Now, when Eric Miller continued to allow Heather Berghorst to operate as the NAMFS Secretary, NAMFS was, in essence, rubber stamping the fraud she continued to roll out. And when Berghorst Enterprises went belly up, Heather had already begun to orchestrate a new series of shelf companies. Berghorst Enterprises SA, Lighthouse Property Solutions, Heritage Home Solutions — on and on and on. Point of the matter is that Altisource KNEW that Berghorst was not only being sued by Fifth Third Bank for willful and malicious fraud, but Berghorst, herself, defrauded over One Million Dollars from Minority Females and Labor.
Good Morning Vendors!
Berghorst Enterprises, LLC has decided to move forward with a name change, our new company name will be Heritage Home Solutions, LLC.
No need to worry – you will not see any changes on your end, except for the name. Our vendor agreement, pay terms, pricing, management, staff, etc. remain the same.
In changing our name we will need each vendor to sign all new paperwork and obtain a new copy of Liability Insurance and E&O (if you have E&O) each with a minimum of a million dollars coverage, with Heritage Home Solutions, LLC listed as an additional insured.
It’s very important that I receive all signed documents (see attached) and insurance no later than March 26th, 2014. Please let me know if you have any questions or concerns.
Thanks for your understanding and patience as we make this transition.
Berghorst Enterprises, LLC
The only problem was that Heritage Home Solutions had gone belly up EIGHT MONTHS PRIOR to it being rolled out. And when Altisource was confronted with the Ponzi Scheme Berghorst, under the mantle of her position as NAMFS Secretary, was rolling out, they were finally forced to address it. When Shari Nott rolled out her now infamous Memo that NFN was going to sue Fannie Mae, Reverse Mortgage Solutions, and others, she did not realize that Berghorst had done the same thing back in 2014. Eric and Victor Deutch are caught in the crossfire with their smokescreens. And fact of the matter is that their law licenses may now be on the line.
And when Altisource realized that Foreclosurepedia had the smoking gun, they had no choice other than to begin winding down Berghorst and her Empire of Fraud.
When Fifth Third Bank sued Heather and Doug Berghorst for Willful and Malicious Fraud, whom do you think that their Investigators reached out to help them? You got it, Foreclosurepedia. And I want that to really sink in for Fannie Mae. When the time comes — and it is going to come — as early as 2014, Foreclosurepedia had already begun presenting information about frauds perpetrated against Fannie Mae and the US Taxpayer. The problem is that, time and again, Eric Miller has been able to sweep under the rug the enormity of the fraud which pays his salary.
At the same time when Field Asset Services (FAS) was being acquired by Assurant, Foreclosurepedia was actively involved in moving FAS personnel into other Industry firms. Give Columbus, Ohio, based Anderson | Biro a call if you think I jest. And several of those C Level personnel were acquired by National Field Network. In fact, by the time the world came to a screeching halt for #TeamRegime over at NFN last month, Foreclosurepedia had Sources in the Accounting, Bids, and Legal Departments. You see, there is an entire fraudulent ecosystem in which the Industry deals with daily. While Minority Females and Labor are required to pay First Advantage, by and through Aspen Grove Solutions, well over $100 for a background check which First Advantage charges $6 for in the public sector, ZERO background checks are performed upon NAMFS Member companies. In fact, Five Brothers, notorious for fraud and the creation of a manual specifically dedicated to defrauding Minority Females and Labor. Foreclosurepedia was told, in great deal with multiple witnesses, about precisely whom created it and how it worked when it came to chargebacks. That is important and more on it later.
What is important, now, is the simple fact that Melissa Lynn Shankin, born on the 16th of November, 1974, is a convicted drug felon and works as the Five Brothers Operations Manager. You see, and this is the part that is hard to understand, if Fannie Mae were performing proper due diligence, how is it that they missed the Michigan OTIS entry wherein Shankin was convicted of Controlled substance-possess narcotic/cocaine < 25 grams. And how did they miss the Federal Tax Lien for $17,662 in Macomb County, Michigan? How did Fannie Mae and Reverse Mortgage Solutions miss the NOT ONE, NOT TWO, NOT THREE, BUT FOUR CIVIL JUDGEMENTS in the 37th District Court which included the failure to pay a FUNERAL HOME?! The dirty little secret is that Shankin has and continues to have direct administrative access to Fannie Mae and the US Department of Housing and Urban Development (HUD).
Am I the only person whom finds a problem with this? Or, how about Fannie Mae’s continued employment, for years, of Mickey Snow, whom had been convicted of Arson for Profit and is currently under multiple indictments for raping underaged females whom were sold for sex to Snow and others in Eden, NC? Where was the background check on he? Oh, my bad. Former federal prosecutors only investigate Minority Females and Labor. This was a man whom his own Operations Director confessed that Snow had bribed Prime Vendors with nearly a million dollars to obtain contracts, contracts which included Fannie Mae contracts, and the Operations Manager stated that he still retains the banking transfer information. Mayopoulos could give two shits. And let me go a bit deeper, here, as I really do not think that Mayopoulos’ Texas based lawyer really understands what is going on. Either he does not know or he is being paid handsomely to keep his mouth shut. Regardless, how about CWIS LLC, a HUD Management and Marketing (M&M) Field Service Manager (FSM) Awardee whom employed, with US Taxpayer money, their son whom was released from prison? So brazen was Carolyn Ramagos, co owner of CWIS LLC, that she went on Facebook attempting to get women to become involved with he. Even office staff were compelled to do the same.
We are not talking about complex legal jargon like the Sovereign Immunity doctrine wherein these companies spun up on Native American soil so that states cannot prosecute them. We are talking about the purposeful creation of shelf companies, set up to funnel monies owed to victims into new companies, while avoiding both debt and the payment of taxes.
Altisource’s former Associate General Counsel and I did the After Action Report (AAR) on the former and now disgraced NAMFS Secretary Heather Berghorst. It blew both of our minds. Truth or Deception in Contracting. You see, most Minority Females and Labor actually do not even know whom they work for. And this is critical. Let’s take Mortgage Contracting Services (MCS). Most people would believe that MCS is a stand alone company, here in the United States, and Caroline Reaves runs it. Nothing could be further from the truth. As Foreclosurepedia reported upon, when MCS purchased Asset Management Specialists (AMS) they created a company — for a brief time — called AMS MCS Subholdings LLC. MCS, today, is owned by a company out of the United Kingdom, called VPS Holdings. By and through TDR Capital and Concentric Equity Group, VPS ultimately acquired MCS, along with multiple other companies in the Industry. It was their initial Blue Skying, though, that allowed they to get where they are, today. And Fannie Mae had better take note as the Blue Skying was sold by and through fluffed profit margins obtained through fraud committed against Minority Females and Labor.
MCS AMS Sub Holdings went back to the well for capital in October, 2013. The Pacific Select Fund Holdings Floating Rate Portfolio has them in at roughly half a million additional in hock. Seven percent is a pretty damn high rate. Hell, I know crack heads here in Knoxville whom get better deals.
Security ID: 55279UAC5 Security Description: MCS AMS Sub Holdings LLC Amount: 475,000.000 Rate: 7.00 Maturity Date: 10/15/19 Market Value: 461,343.75
As opposed to what was already a colossal loan, doomed by Standard and Poor (S&P) and Moody’s, from the beginning, discussed the potential to default. Then, MCS added a $20 Million monthly revolving credit line, to the debt load. And the kicker, the real kicker here was that MCS couldn’t get an S1 or S2; hell, MCS couldn’t even get a mezzanine level loan, they paid SEVEN PERCENT interest! Why, and this is important: If real financial audits were ever to be performed — and Fannie Mae, in conjunction with HUD have already created enough of a papertrail to get a class action certified — the entire House of Fraud comes crashing down. To put that into perspective, when Victor A Deutch carbon copied his Texas colleague representing Fannie Mae, he inextricably linked both parties work product accessible by and through the Discovery process. So, either on the one hand, Fannie Mae has now been informed about what is currently going on — and that, in turn, means to remain legal they must go back seven years historically — and the pattern or practice is now well defined. Or, in the alternative, both Deutch and his Texas colleague collude together, crossing state lines, using electronic means, to state they never passed the information to their Clients. That creates the precipice they fall over when they lose their law licenses and the malpractice suits begin.
It gets better, though. MCS, Altisource, and Fannie Mae have, for years, done billions in business within the Industry. By and through a system of proxy companies, all three companies have been able to feign ignorance which, ironically, the law required they to periodically audit against. And the gamble has always been that if anyone ever even came close to catching on, most of these proxy shelf corporations never existed to begin with. NFN is a prime example as are the other firms whom Foreclosurepedia has eradicated over the past eight years. And when anyone does begin to get close, firms like Altisource begin to implement black lists. Extremely illegal and criminal in nature, Altisource was brazen enough to actually tell Labor this as recently as last year. And even more insanely, the National Association of Mortgage Field Services (NAMFS) met with its Board of Directors, by direction of Eric Miller, NAMFS Executive Director, to investigate the matter. Both NAMFS and Altisource informed Labor that it simply was, “… how business was done.” So, it was a one – two punch. You bring a complaint and people like Victor A Deutch threatens and intimidates you with the tacit blessing of Texas based Fannie Mae lawyers. If you make it through the gauntlet, then your company is added to the Black List maintained by virtually each and every NAMFS Member.
This isn’t simply a list pertaining to companies whom may be legitimately ostracized. The contractor in question here HAD NEVER WORKED FOR ALTISOURCE. And there is no way to get off these lists let alone challenge their veracity. So, let’s think about this, for a moment. You have a series of shelf companies whom are committing wholesale fraud. Those companies are supposed to be financially audited by, at minimum, Fannie Mae, to ensure there will never be any issues pertaining to the clouding of title and additionally to ensure that the use of federal funds are not subjected to fraud, waste, or abuse. And for years, Fannie Mae should have known about these issues. When people come forward to testify about violations of federal law such as Shari Nott defrauding Minority Females and Labor, Fannie Mae allows Victor A Deutch to threaten and intimidate people such as PU Preservation and Restoration in addition to credentialed members of the media, such as myself. And when you realize that you cannot shut them down, you blacklist them to ensure that they never work again.
Is this what lawyers should be doing? I mean as officers of the court, where does the duty to the client end and the legal responsibility to uphold the law begin?!
With volumes at historic lows, the reality is that now is the time to begin proper investigations. Now is the time to both address the Culture of Fraud as well as institute fundamental safeguards to address the systemic problems plaguing our Industry. More importantly, though, is the national security implications. What I mean is that precisely where are the fraudulently obtained funds going and for what are they being spent upon. If we have former federal prosecutors refusing to address the blatent disregard for law, I do not think it is a far stretch to inquire if we are looking into the obsidianesque eyes of narco terrorism. In light of the recorded interviews Foreclosurepedia maintains with respect to Mickey Snow’s former broker, this is a very real possibility.
When Foreclosurepedia revealed that one of the largest Fannie Mae subcontractors, Snow Enterprises and Tongsua Enterprises, was ran by a man, Mickey Snow, charged with dozens of counts of raping underaged females, no one blinked an eye, not even Fannie Mae. We had shown how Snow had been convicted of Arson for Profit, it was simply yet another example of how Fannie Mae turns a blind eye. And when we connected the series of election campaign donations, by Snow and his daughter pretending to be a Realtor, to the DA, Craig Blitzer, which were a hundred fold higher than the entire county contributions combined, the work continued to flow. And when we stated, as early as February, 2016, that Blitzer was dirty and the charging instrument would be the backdoor for escape, still no one took note.
The North Carolina State Bar suspended the law license of former Rockingham County District Attorney Craig Blitzer on Thursday — more fallout from an SBI probe that led to his resignation and had him recently pleading guilty to what essentially amounted to misconduct.
Due diligence, Counselors. Had Fannie Mae ever properly performed due diligence upon Snow or any of the nearly 36 other companies Foreclosurepedia has investigated, it would have realized that Tongsua Enterprises was a front to illegally obtain contracts. It wasn’t just Fannie Mae, though, the US Department of Housing and Urban Development, along with their Prime Vendor, were caught up in the incestuous — and this part is scary — and DEPENDENCE upon Snow, et al.
Did I forget to mention that Diversified Asset Management LLC (DAM) has the same address as Tongsua Management LLC? That pesky 1103 Central Ave, Holly Hill, Florida 32176. Yeah, small world. Now, while DAM kept their address off the radar with the Florida Secretary of State, they couldn’t do the same with respect to both the Utility Companies and their own website itself.
Snow is the least of Fannie Mae’s concerns, though. A lot to take in. And going forward, Foreclosurepedia is going to begin letting the data speak for itself. Tomorrow afternoon, Foreclosurepedia releases its Updated Google Fusion Table. With nearly One Million Dollars in fraud documented, Fannie Mae continues to allow their Fraudster in Chief, Shari Nott, to continue to pocket the cash of Minority Females and Labor. The time has come, if you have not already done so, to get your NFN Excel Spreadsheets over. Here is where we are at, so far, with respect to the listings of all properties under potential lien status. It is only three percent done. Please help Foreclosurepedia help you TODAY!
This is the first part in a three part series under our All The Usual Suspects section. Catch us tomorrow, live on the Foreclosurepedia Radio Network, for the Foreclosurepedia Podcast, as we interview several contractors whom have simply had it and have decided to tell all!