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Actor Armand Assante challenges foreclosure

April 17, 2015

While the stock market crash and tumbling housing market has resulted in a slew of personal and corporate bankruptcies, the economy seems to be heading towards recovery. Housing prices are steadily rising as low mortgage rates are attracting home buyers. Even so, the dust still has not settled from the aftermath of the housing crisis, and even actors are not immune.

Actor Armand Assante is facing the loss of his sprawling Hudson Valley residence, scheduled for possible sale on May 6, 2015. He asserts that predatory lending has caused his financial difficulties. His attorneys have requested that a New York judge change her mind regarding the finalization of the 7,000 square-foot foreclosure of the mansion. The 64-year-old actor held key roles in “American Gangster” and in “Gotti,” a 1996 HBO release.

The role of Eastern Savings Bank in the foreclosure

Eastern Savings Bank, a Maryland-based financial institution, loaned the actor $1.5 million in 2005. He repaid $700,000 but quit making payments in 2009 as he tried to work out a reduced interest rate, down from the 10 percent written into the original loan. According to the bank, the loan now stands at $2.3 million. The executive who oversaw his mortgage paperwork faced charges of improperly altering a separate mortgage worth $3.25 million. The case was settled through the payment of a $125,000 fine.

Accusations of fraud

Mr. Assante’s attorneys indicated that the settled case proves that the executive acted dishonestly regarding their client’s mortgage. The executive’s lawyers challenged that claim. However, a law clerk with a possible vendetta against Hollywood stars was also involved in the case, along with questionable activities of a property appraiser.

The actor retained private investigators to unearth these details. In addition, the original mortgage, recorded in court, might not have even been signed by Mr. Assante, which could invalidate the entire case. The actor is now involved in international projects which, along with compensation for damages, could earn enough money to allow him to repay his debts.

A court bankruptcy and the related home foreclosure is an emotional ordeal as your residence can represent not only a lifetime of hard work but also a home full of memories. However, technicalities could make a foreclosure void. With the help of a seasoned attorney, you might be able to fight a foreclosure.