Bankruptcy/Foreclosure DOJ Compliance 2017-03-28T14:54:13+00:00

Project Description

Project Description

MCG directly managed and led several business compliance and process transformation initiatives to ensure that our client obtained both operational performance improvements (e.g. – cost reduction and increased throughput) and maintained or obtained compliance with US Federal Bankruptcy Rules. At the time of the project, our client was challenged with a Department of Justice (“DOJ”) Notice to Comply. Primarily relating to the client’s home loan division, we also aided the bank in achieving and supporting its post-remediated compliance process.

Business Case

Large banking institutions are mandated under the US Treasury to perform borrower contact, legal notification and provide loan modification alternatives to ensure that the bank exhausts all pre-foreclosure alternatives prior to implementing adverse action. These regulations required the development of solutions for foreclosure business operations, policies, and procedures, supporting technology, internal governance and regulatory certification. At the time of project origination, the bank had accumulated a significant volume of foreclosed loan ‘backlog.’ This backlog represented ‘stale’ foreclosed loans, which needed to further proceed through the foreclosure process.

Project Objectives

The primary objective was to obtain and support DOJ Notice to Comply adherence. MCG provided advise and aid in the process specific requirements to comply with revised US Federal Bankruptcy Rule (Dec 2011), ‘lean out’ existing process and reduce the inherent level of operational risk.

Services Provided

MCG was responsible for managing and executing on the following scope:

  1. Project charter including objectives, schedule, cost and recommended technology solutions
  2. Advise on and support DOJ Notice Comply remediation strategies and timelines
  3. Comprehensive business requirements including data sourcing, business rule logic and diverse reporting
  4. Data validation and data provisioning optimization
  5. Development, testing, implementation and stabilization
  6. Advise and aid in the implementation of new process Associate Readiness