Sarah Palin's Arizona Home Purchase Clouded By Foreclosure Fraud, Analysis Finds

Sarah Palin’s growing list of titles –- author, documentary subject, roving bus tour host –- just got bigger. She may now be able to add "mortgage fraud victim" to her resume.

The conservative celebrity invested in a company that paid $1.7 million for an Arizona home with a title tainted by the so-called "robo-signer" scandal, during which mortgage companies failed to properly document foreclosures, according to an analysis done by a mortgage fraud examiner in Massachusetts.

Palin confirmed last week that she was part of a company that bought a five-bedroom house in Scottsdale, Ariz., in May. But records on the property compiled by the fraud examiner shows that at least two fraudulent signatures were involved in re-financing and foreclosure transactions on the property in the years before Palin’s company purchased it, possibly raising questions about the legality of the sale.

"The title problems here are very, very significant, and I believe it is going to require that this be litigated to find out who the legal owner of the property is," said Marie McDonnell, who has been reviewing fraudulent foreclosures in a local Massachusetts county and saw a similarity with the home purchased by the Palin company, Safari Investments LLC.

McDonnell said she and John O’Brien, the Massachusetts Register of Deeds for whom she works, decided to go public with the Palin foreclosure mess in order to "educate the public" about what happens when the legal underpinnings of a real estate transaction become compromised.

"If you’re buying a foreclosed property, can you be guaranteed you’re going to get legal title?" she asked. "There are millions of people facing the same problems, and it was a way for us to raise everyone’s awareness of the seriousness of these problems."

A spokesman for Palin did not reply to an e-mail seeking comment.

In a detailed graphic illustration of the paper chain leading up to the purchase of the 7,900-square-foot brown stucco Scottsdale home, McDonnell provided documents showing two fraudulent signatures involved in a refinancing and eventual foreclosure on the property. One of the signatures was "Linda Green," the robo-signing moniker highlighted in an April "60 Minutes" piece.

"Linda Green" was supposedly a vice president at 20 different banks at the same time, according to the piece. In reality, it was a name forged by many different people at Docx, a company that ginned up legal documents that banks could use in court to proceed with foreclosures.

The "Linda Green" signature showed up in 2007 in a deed of release on the property from Wells Fargo Bank, when the past owner was refinancing the mortgage, according to the documents compiled by McDonnell. Then in 2008, McDonnell alleges that a "Deborah Brignac" made signatures on foreclosure-related documents on the property that should not have authorized the transfer of the property to JP Morgan Chase.

According to the documents cited, Brignac was working as a vice president at two different institutions: JP Morgan Chase Bank and Mortgage Electronic Registration Systems Inc., an electronic mortgage tracking service. Brignac is listed online as vice president of California Reconveyance Company, which was a subsidiary of Washington Mutual and is now a subsidiary of JP Morgan Chase.

McDonnell said the signatures on those deed documents should not allow the property to have been foreclosed. McDonnell is not a lawyer; she is a certified fraud examiner.

"This was a legal document created for the sole purpose of connecting the dots so that JP Morgan could foreclose," she said.

Efforts to reach Brignac were unsuccessful. A spokesman for JP Morgan declined to comment.

O’Brien, the Southern Essex District Register of Deeds in Massachusetts, noted in a press release that he hoped some good would come of the mess.

"Sadly, Sarah Palin’s misfortune will, however, hopefully shine the national spotlight on this issue," the release said. "Given her position in the country, I am sure that she will use her influence to stand up for homeowners and their property rights."

Comments

[joni brit]

09:30 PM on 06/26/2011

is it possible to find a refinance or purchase from 2005 - on ward with clean hands? perfectly clean title? the bigger question is how predatory was the predator? I don't know how anyone could purchase a home that was foreclosed, it's doing just what the Banks figured we would do, after they robo-signed, forged documents, and collected on default insurance policies.

[nicenissey]

10:51 AM on 06/22/2011

This wouldn't happen if we have regulators in place to prevent this kind of fraudulent transactions. That's why I've always believed in SARAH PALIN and her crusade for tighter government regulation!

A true hero for real Americans, especially those who could easily be victimized by maverick businesses!

[surlyguvna]

05:23 PM on 06/21/2011

Sarah Happy moderator on this thread...

[surlyguvna]

05:08 PM on 06/21/2011

So it's official then...she's a fraud.

[notadumbblonde]

08:23 PM on 06/19/2011

Ya, right, lady; you outed Palin's documents to magnify the problems other owners are having.

[yama96]

02:17 AM on 06/16/2011

Here we have a victim of fraud. Because people who "hate" her still want to drag her down. Remember she is the victim. I just do not understand all of this Palin bashing. Regards to all.

[surlyguvna]

05:19 PM on 06/21/2011

Please, we're the biggest victims in this Sarah Palin Melodrama and she doesn't need anyone's help bashing herself...her own words do that just fine.

[joni brit]

09:41 PM on 06/26/2011

it's not necessarily Palin bashing, it's just hard to believe with all the evidence that has come to light, someone in public office would buy a foreclosed home. I had this crazy dream that the next four years could be better for the American people, but a good deal is a tough thing to pass up I guess, regardless of who became homeless in the process. It's not Palin bashing, it's saying, "there have never been more houses on the market in the history of the United States, for every sign you see, there are two you don't. With all these deals on the market, a politician especially, could have easily helped out an American family, rather than take advantage of a very very sad and possibly fraudulent situation."

[joper201]

01:58 AM on 06/16/2011

It's obvious that you who are blaming Palin or criticizing her have NEVER BEEN SUCCESSFUL ENOUGH TO BUY YOUR OWN HOME.
She did nothing wrong. You petty little people just need an excuse to denigrate her.
Who among you petty little people have graduated from college, was a Mayor,Governor or Vice Presidential candidate?
Who among you has written books or been the Star of a Reality RV Show?
Who among you petty little people have been 1/1000th as successful as Palin?

[Gwbsucks1]

06:34 PM on 06/15/2011

the best thing to do with all these sour titles is if they can't produce a clear title , then the government needs to declare it eminent domian and give the house a clear title and we need legislation that would stop these banks from sellin mortgages to other banks , it makes no sense

[bonnieb333]

01:07 PM on 06/15/2011

It's about time she does something constructive:

" I am sure that she will use her influence to stand
up for homeowners and their property rights."

Litigation to determine the rightful owner? She can afford it.

[JaneB3]

01:57 PM on 06/15/2011

Sarah's influence will best serve Sarah. But I do have to ask, why didn't her company investigate the title prior to the house purchase? It wasn't as if they couldn't afford to do the investigation.

[red4182]

02:25 PM on 06/15/2011

The escrow company always does a title search when you buy property. So they did pay to check on the title. Blame some one else. Buying forclosed property helps the housing market.

[Watching rock grow]

11:40 PM on 06/15/2011

Jane, Jane please who in their right mind would think about involving Sarah Palin in something other than perfectly legal? :)

[red4182]

12:59 PM on 06/15/2011

The house was foreclosed on years before she bought it. It was on the market for years. Just exactly what are you blaiming her for? Caught in her own trap. What did she do here to deserve all the wrath in these posts?

[JaneB3]

02:11 PM on 06/15/2011

Let's not make excuses for Sarah, and keep in mind house was built in 2001, so tracking title history is within the computer age.. Doesn't matter when the house was foreclosed or how long it had been on the market, if employees of the Massachusetts Registrar of Deeds could uncover the fraud, so could an investigator hired by Sarah's company.

[red4182]

02:27 PM on 06/15/2011

That's what the escrow company is for. You pay a title company to do a title search.

[Gwbsucks1]

11:57 AM on 06/15/2011

imagine gettin caught up in one of yur own traps - and she wants to be prez? sounds to me like she can't walk without trippin on her own shoe laces

[red4182]

12:49 PM on 06/15/2011

Call the F.B.I Palin bought a house.

[Gwbsucks1]

06:13 PM on 06/15/2011

what!!

[Gwbsucks1]

11:41 AM on 06/15/2011

Sadly, Sarah Palin’s misfortune will, however, hopefully shine the national spotlight on this issue," the release said. "Given her position in the country, I am sure that she will use her influence to stand up for homeowners and their property rights-----------------------ya right , given her position , will only allow her to sue someone for makin a fool of her , and how much ya wanna bet she won't include any of that in the upcomin speeches about takin our country back - lol

[RiverWalker]

10:30 AM on 06/15/2011

Wonder how her daughter's house was purchased. Same company? Who are the other investors? What's the purpose of the company? Does the company own the properties and rent them to the investors? How many other forclosed properties does the company own? Someone should be asking a lot of questions.

[Gwbsucks1]

11:42 AM on 06/15/2011

good point , i thought she was buyin this house for herself - this is the first time i've heard of any investment company

[notadumbblonde]

08:26 PM on 06/19/2011

Why, it's none of our business, just like you buying your house is none of our business.

[Hutz]

08:31 AM on 06/14/2011

Just imagine how badly she would mangle explaining the mortgage crisis.

[tmteefore]

08:54 AM on 06/15/2011

Obama said shovel ready job are not so ready and laughed, and your trying to make fun of Sarah Palin.

[Bigleague]

10:40 PM on 06/13/2011

What about the other victims. In that company that she happened to invest in (she was the only "victim") .

Or what about the many others who are not already rich off other people (not by earning it) that are victims? Why not profile more of them? The people who are actually hurt by this type of thing? Not those that are one of the investors in a company that made a business decision that just didn't work out.

If she hasn't already stood up for the normal average people over this then if she does later it means nothing. She should have done it immediately. But she doesn't care. She might have a little hissy because she lost a little bit of money. But as far as the impact it has on "us little people" she couldn't possibly care less.