Thursday, August 15, 2013

Richmond Mayor Visits Wells Fargo Headquarters

The mayor of Richmond and several supporters showed up unannounced at Wells Fargo Bank's Downtown Headquarters in San Francisco to demand it drop a lawsuit fighting a novel plan to refinance hundreds of "underwater" mortgages. McLaughlin wants Wells Fargo and Deutsche Bank to withdraw the lawsuit filed last week against the city and its financial backer. Richmond is seeking to use the power of eminent domain to force lenders to refinance loans at market value on homes that are worth less than their mortgages, thus reducing the amount owed. Mayor McLaughlin hoped to set up a meeting with Wells Fargo CEO John Stumpf. Laura Garzon Chica reports.