[StBernard] Sheriff Valteau negotiates elimination of lock boxes on properties throughout New Orleans

[Westley Annis]

On Tuesday, April 4, 2006 at 10 am Sheriff Paul R. Valteau Jr. will hold a
news conference in the lobby of the Civil District Courthouse located at 421
Loyola Ave. regarding the securing of vacant properties in Orleans Parish by
HUD (the U.S. Dept. of Housing and Urban Development). 

Sheriff Paul Valteau, Orleans Parish Civil Sheriff 
Securing any property will require the Mortgagee to notify the homeowner

It has come to the attention of Sheriff Valteau that lock boxes have been
attached to the doors of properties throughout the city of New Orleans. Upon
further investigation it was discovered that out of state companies had been
hired by mortgage companies to physically secure their investments thus
preventing homeowners from entering their own properties. 

Sheriff Valteau has negotiated with HUD to eliminate this practice unless
the initial inspection determines that further damage to a salvageable
structure would occur. Securing any property will require the Mortgagee to
notify the homeowner of its intent to secure the property. If the property
is confirmed to be substantially destroyed, then preservation and protection
actions are not warranted. Mortgagee failure to secure properties with a
lockbox will not be held by HUD as neglect. HUD will notify all lenders of
this ruling regarding vacant properties in Orleans Parish. Full details of
the agreement have been published on the following website:

http://www.hud.gov/offices/hsg/sfh/reo/pandpsched/ornnote.cfm

In Louisiana, once a property is in foreclosure, it is under the
constructive seizure of the Civil Sheriff giving him jurisdiction over the
property, thus removing the lenders rights from the debtor and tendering it
to the Sheriff. In cases where foreclosures are already in effect the
Sheriff is requiring that his office be notified of the intended action.
Each case involving foreclosed property will be handled on an individual
basis.


Visit HUD.gov for more information
<http://www.hud.gov/Foffices/hsg/sfh/reo/pandpsched/ornnote.cfm>