Federal Reserve Board chairman Ben S. Bernanke said he is concerned by foreclosure irregularities in the housing market.
Speaking at a conference Monday on mortgage foreclosures, Bernanke said the Fed is concerned about reported irregularities in foreclosure practices at a number of large financial institutions. He said federal banking agencies are conducting an in-depth review of practices at the largest mortgage-servicing operations.
“We are looking intensively at the firms’ policies, procedures, and internal controls related to foreclosures [to] determine whether systematic weaknesses are leading to improper foreclosures,” Bernanke said. “We take violations of proper procedures seriously. We anticipate preliminary results of the review next month.”
