MassGOP to Patrick: Place Ameriquest Earnings in Trust fund for Subprime Victims

The new leadership at the MassGOP has wasted no time going on the attack. The Massachusetts Republican State Committee today called on Deval Patrick to put the $720,000 he earned from predatory sub-prime lender Ameriquest into a trust funds for the victims of that predatory lending. 

This request is absolutely spot on.  Deval Patrick took the money of a sub-prime lender that was accused of preying on communities of color.  Patrick as he has done with Texaco and Coca Cola was the “fixer”, he was hired to deflect attention to that predatory lending.  Many Massachusetts residents were hurt by those lending practices.  Both directly having received a loan they couldn’t afford, and indirectly as the sub-prime predatory lending drove up house prices in Massachusetts putting the dream of home ownership out of the reach of many.

The press release issued today is after the jump.


BOSTON – In light of alarming news today about a rise in foreclosures, the MassGOP has called upon Governor Deval Patrick to place the $720,000 he was paid by a controversial subprime mortgage lender into a trust fund to benefit victims of mortgage fraud.

“Some Massachusetts residents are seeing the American dream slip through their fingers because they were victims of predatory lenders, and meanwhile Governor Patrick spends three or more weeks in his second mansion in the Berkshires, financed no doubt by the money he received as a board member of a subprime mortgage lender,” said Rob Willington, Executive Director of the MassGOP. “Governor Patrick should put all this money into a fund to benefit victims of mortgage fraud.”

Massachusetts ranks 12th nationally in state foreclosure rates, according to RealtyTrac, as reported today on Patrick served in 2005 and 2006 on the board of ACC Holding, the parent company of Ameriquest Mortgage, which has been accused of predatory lending. Patrick earned $360,000 per year, according to the March 6, 2007, Boston Globe.

Patrick stepped in more hot water earlier this year when he made a call, on behalf of ACC Holdings, to a top official at Citigroup, former Clinton Administration Treasury Secretary Robert Rubin. Patrick claimed to be serving as a reference for ACC, which was seeking an investment by Citigroup.

Patrick should follow the example of Democrat Presidential candidates John Edwards and Hillary Clinton. Edwards said he would remove his investments from a hedgefund that was foreclosing on people in New Orleans after the Hurricane Katrina disaster. Last month, Clinton gave to charity the $23,000 received from a Democratic fundraiser accused of fraud, according to the August 31, 2007 Boston Globe.

“Governor Patrick’s administration oversees mortgage lenders and yet he has received hundreds of thousands of dollars from a subprime lender and made a phone call on their behalf while he was governor. Until he rejects their tainted money and places it into a trust fund for victims, there is a cloud of suspicion that he is working for the lenders, not the people,” Willington said.

About Rob "EaBo Clipper" Eno