Massachusetts will get an almost $47 million share of the $ 7 billion settlement over Citigroup’s mortgage-backed securities activities.
Malcolm Chu, an organizer with Springfield No One Leaves—a group that fights foreclosure related evictions – said the settlement needs to be independently monitored to assure that help gets to people in need of loan modifications in order to stay in their homes.
" People who created this crisis need to be held responsible. These settlements are important, but there is a need for more aggressive criminal prosecution by the federal government as well," said Chu.
The settlement with Citigroup stemmed from the sale of securities made up of subprime mortgages that led to the housing boom then bust that triggered the Great Recession. Massachusetts Attorney Gen. Martha Coakly said the settlement provides significant relief to homeowners and taxpayers.
