HSBC Sued In New York Over Foreclosures: Reports

HSBC Holdings PLC UK:HSBA +1.27% HBC +1.53% HK:5 +0.76% is being sued by New York Attorney General Eric Schneiderman for violating foreclosure state laws designed to give homeowners an opportunity to negotiate loan modifications, media reports said on Tuesday.
According to the lawsuit, obtained by The Buffalo News, the banking major failed to meet requirements to get homeowners and banks into settlement talks to avoid foreclosure.
“Companies like HSBC are brazenly ignoring state law, leaving homeowners across New York stuck in a legal limbo where they can’t even get the legally required settlement conference that could help them keep their homes,” the attorney general said in a statement, according to Bloomberg News. A representative from HSBC declined to comment.