1/4/2016 – OCC Consent Order: JPMorgan agreed to pay $48 million for violating the terms of a previous 2011 OCC Consent Order related to Chase’s “deficiencies and unsafe or unsound practices in residential mortgage servicing and in Chase’s initiation and handling of foreclosure proceedings.” In the 2016 Consent Order, the OCC found that Chase had again engaged in unsafe and unsound practices, and had violated the Bankruptcy Rules.
The specific unsafe and unsound practices enumerated in the January, 2016 Consent Order included the fact that
[B]etween December 1, 2011, and November 19, 2013, the Bank filed in United States Bankruptcy Courts:
(a) approximately 460 inaccurate Payment Change Notices (“PCNs”) that did not provide the borrower with the correct payment change amount or the correct date that the new payment change would go into effect;
(b) approximately 2,500 PCNs that were untimely under the Bankruptcy Rules;
(c) approximately 4,380 PCNs using the signature and Bankruptcy Court’s Case Management/Electronic Case Filing credentials (“ECF Credentials”) of an individual who no longer worked for the Bank at the time the PCNs were filed; and
(d) approximately 2,285 PCNs using the signature and ECF Credentials of a Bank employee who no longer worked in the Bank’s bankruptcy department at the time the PCNs were filed.