A federal lawsuit filed today in San Diego alleges Washington Mutual, now operating as a division of JP Morgan Chase Bank, has been systematically reducing and freezing customers' home equity credit lines.
The proposed class-action suit -- filed on behalf of Escondido businesswoman Michell Kimball -- alleges the bank used flawed automated valuation models to intentionally understate home values so it could create a pretext for freezing its customers' line-of-credit accounts.
The lawsuit alleges that the banks are failing to live up to their promises to use $700 billion in taxpayer funds to lend money to cash-strapped home and business owners and are squeezing consumers by freezing or reducing their home equity lines of credit.
Kimball said she first learned that Chase had frozen her WAMU credit line when a check she had drawn on the account was dishonored.
The plaintiff said the action by the bank threatened her home and the viability of her small business.
After Kimball's lawyers intervened, Chase restored her credit line but did not reimburse her for her losses, according to her court papers.
A crash happened during the morning commute Wednesday on the northbound I-805 just past SR-52. News 8's Marcella Lee reports near the scene with reaction from that witness and the CHP.
Authorities on Thursday released a sketch of a man suspected of attempting to kidnap of a teenage girl in Encinitas.
Two women who allegedly took part in a botched La Mesa mugging that left a man dead pleaded not guilty today to robbery and murder charges.
A state prosecutor and son of an infamous figure in the Watergate scandal was arrested on a child pornography charge at his home in Coronado.
A man accused of fatally stabbing his mother at their home in Clairemont pleaded not guilty Thursday to a murder charge.
The Trump administration said Thursday that prototypes for a proposed border wall with Mexico have been delayed until November because two companies have objected to the bidding process, dealing another setback to the president's aggressive timetable to make good on a signature campaign pledge.
The father of Davis Cup champion and one-time Wimbledon finalist Mark Philippoussis pleaded not guilty Thursday to charges he sexually assaulted two 9-year-old girls he taught while working as a private tennis instructor in northern San Diego County.
A long-running legal dispute over a ballot measure passed by voters five years ago to reform the city of San Diego's pension system will be decided by the state Supreme Court, according to documents made available Thursday.