The enforcement action claims that the bank was engaged in widespread, illegal ‘robo-signing’, as well as other illegal practices, and committed debt-collection abuses against nearly 100,000 California credit card borrowers over at least a three-year period.
Attorney general Harris said that Chase misused the judicial process and engaged in serious misconduct against California credit card borrowers.
From January 2008 through April 2011, Chase used unlawful practices as shortcuts to obtain judgements against California consumers, which have been impossible if Chase had adhered to the procedural protections required by law.
In order to obtain speedy default judgements against, Chase abused California’s judicial system as a factory.
The complaint said, "At nearly every stage of the collection process, defendants cut corners in the name of speed, cost savings, and their own convenience, providing only the thinnest veneer of legitimacy to their lawsuits."
The case has been filed in Los Angeles Superior Court and the proceeding seeks to hold Chase accountable, demanding for a permanent ban on such practices and compensation for affected consumers.
