On May 22, 2015, the Michigan Attorney General (“AG”) and its Homeowner Protection Unit filed charges in Oakland County’s 48th District Court against a Michigan mortgage company and its owner alleging that the owner and mortgage company engaged in a scheme to defraud borrowers by promising to modify mortgages for borrowers facing foreclosure. According to the Michigan AG, the owner and company did not assist the home owners in obtaining mortgage modifications, causing many of the home owners to lose their homes to foreclosure. The owner has been charged with 30 felonies, including twenty-six counts of obtaining money through false pretenses, three counts of attempted false pretenses, and one count of racketeering. The felony charges carry the risk of significant jail time, including five years for each count of false pretenses and twenty years for the racketeering charge. The civil fines range from $1,000-$20,000 per false pretense count and $100,000 for racketeering. The owner’s next court appearance is set for early June 2015.