Phoenix, Arizona - Attorney General Tom Horne has filed a consumer fraud lawsuit against Phoenix-based Making All Homes Affordable, LLC (MAHA), its owner and manager, Albert Figueroa, and one of its salespersons, Steve Villanueva.
The complaint alleges that the company, which targets Spanish-speaking consumers who need to modify their home mortgages, misleads consumers into believing they will obtain principal and interest reductions on their home mortgages by using their program. MAHA, in its radio advertisements that are presented in Spanish by Figueroa himself, tells consumers that if they meet with a representative at their office in Phoenix, then MAHA will determine whether they are eligible and qualified for a reduced mortgage.
According to the lawsuit, when consumers met with MAHA they were told they were eligible and qualified for specific principal and interest rate reductions when, at the time the company made the representations, the company had no knowledge as to whether the consumer’s particular lender would agree to such reductions. The State alleges that MAHA told consumers that they were eligible and qualified for certain principal and interest rate reductions, but did not obtain such reductions, even after consumers paid approximately $1,700 each for the MAHA program.
The lawsuit also alleges that Figueroa, working with an Arizona business named Diversified Home Solutions, LLC, engaged in a fraudulent scheme to obtain payment from a MAHA client by recording a fraudulent Deed of Trust against the client’s property for a non-existent debt that Figueroa claimed was owed to Diversified Home Solutions.
The lawsuit requests that the court issue orders against MAHA, Figueroa and the other defendants to prevent them from violating the Arizona Consumer Fraud Act and to require them to provide refunds to consumers who have paid MAHA, as well as civil penalties and the State’s costs and fees in bringing the lawsuit.
This lawsuit is being handled by Assistant Attorney General Cherie Howe.
If you believe you've been the victim of deceptive mortgage practices or any other type of consumer fraud, you may file a consumer complaint with the Attorney General's Office by visiting our website at www.azag.gov. For consumer inquiries, or to request a complaint form, call (602) 542-5763 (Phoenix), (520) 628-6504 (Tucson), or toll-free outside of metro Phoenix, (800) 352-8431.