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Congressman Hank Johnson

Representing the 4th District of Georgia

Rep. Johnson’s statement on the SIGTARP Audit Showing Gross Mismanagement of Georgia’s Foreclosure Funds

October 13, 2017
Press Release
WASHINGTON, D.C. – Congressman Hank Johnson (GA-04) released the following statement after a Special Inspector General for the Troubled Asset Relief Program (SIGTARP) audit showed Georgia’s handling of federal Hardest Hit Fund dollars through its HomeSafe program, which is supposed to aid homeowners facing foreclosure, was badly and shamefully mismanaged by the Georgia Department of Community Affairs:
 
“This audit is a damning confirmation that while too-big-to-fail banks were getting fatter on federal bailout money, thousands of struggling Georgia homeowners who could have gotten help saving their homes from foreclosure were prevented from doing so because Georgia officials were playing politics. By establishing overly strict and needlessly burdensome qualification requirements and while erecting a Byzantine bureaucratic maze for those seeking help, Georgia prevented tens of thousands of its residents from receiving relief under President Obama’s Hardest Hit Fund. As a result many lost their homes to foreclosure. Unfortunately, this is another example of Georgia failing to work with the Obama administration to help its own citizens for purely political reasons. Shame!”
 
A Closer Look
 
Although Congressman Johnson held more than a half dozen town halls with the Georgia Department of Community Affairs to assist homeowners facing foreclosure, more than 66 percent of Fourth Congressional District homeowners who applied for assistance were turned away;
Only 1,633 homeowners in GA-04 received assistance, the second highest of the 14 congressional districts in the state;
71 percent of all veterans in the state who applied were denied;
Eight of every 10 people Georgia turned away earned less than $30,000 a year – and most earned less than $20,000. 
 
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