CHARLESTON – A Charleston man has filed suit against several financial institutions over allegations his mortgage loans are illegal.
Thomas L. Root Sr. filed a complaint in Kanawha Circuit Court against Newrezz LLC, doing business as Shellpoint Mortgage Servicing; Bank of America, Countrywide Home Loans Inc.; and The Bank of New Your Mellon, formerly known as the Bank of New York, alleging unconscionable inducement and illegal loan.
The suit states that the plaintiff was solicited by Countrywide in 2005 to finance the purchase of a foreclosed property in Kanawha County. The plaintiff alleges the property was appraised for an inflated price of $71,500 and he was unaware that the home's fair market value was below that amount.
The suit states the plaintiff entered into two loans with Countrywide - one for $56,720 and one for $14,180. It was not until May 2019 that the plaintiff alleges he learned that the value of the home had been artificially inflated.
The plaintiff alleges the defendants made mortgage loans with a principal amount that exceeded the property's value and are in violation of state law.
The plaintiff is seeking all reasonable sums due, attorney fees and court costs. The plaintiff is represented by Daniel T. Lattanzi of Pepper & Nason in Charleston.
The case has been assigned to Judge Tera Salango.
Kanawha Circuit Court case number 19-C-513