Los Angeles to penalize banks for neglecting foreclosed homes

17:13, May 22, 2010      

Email | Print | Subscribe | Comments | Forum 

The Los Angeles City Council on Friday approved an ordinance to penalize banks and other lenders for neglecting foreclosed homes.

Under the ordinance, banks or other lenders will pay a fine of 1,000 dollars each day if a foreclosed home becomes a blight on a neighborhood.

The city council sets the maximum annual fine at 100,000 dollars for each neglected home.

Banks will have 30 days to correct the problem before being penalized.

The ordinance also obliges the city to create a registry of foreclosed properties, whose owners will be told about requirements for keeping the property "clean and free from accumulation of debris, rubbish, garbage, trash, overgrown vegetation and other similar material.""

The Foreclosure Registry Program will serve as "a mechanism to protect residential neighborhoods from becoming blighted through the lack of adequate maintenance and security of abandoned properties as a result of the foreclosure crisis," city attorney Carmen Trutanich said.

City Council President Eric Garcetti said, "This ordinance is about keeping banks from seizing homes and then neglecting them to the point where they become magnets for trash, vermin and crime."

"To make sure banks get the message, this ordinance contains fines of up to 100,000 dollars," he said.

Garcetti said criminals sometimes move into foreclosed properties and use them for drug-dealing and other unlawful activities.

Neglected swimming pools can become breeding grounds for mosquitoes and are dangerous for children, while yards overgrown with brush can pose a fire hazard, Garcetti added.

Tens of thousands of homes have been foreclosed in the Los Angeles area amid a worsening financial crisis over the past two years.

Source: Xinhua

(Editor:燕勐)

  • Do you have anything to say?

双语词典
dictionary

  
Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Yu Guangyao (2nd R), president of Shanghai Shentong Metro Co., Ltd, bows his apology at a press conference on the subway trains collision accident happened Tuesday afternoon, in east China's Shanghai Municipality, Sept. 27, 2011. By 8:30 p.m. (1230 GMT) Tuesday, a total of 271 injured people in the accident have received medical treatment in hospitals, among them 180 have been dispatched. Other 61 injured people are still in hospital, in which 30 are under emergency observations. No critical injuries have been reported. (Xinhua/Chen Fei)
  • Children visit the Confucian temple in Tainan, southeast China's Taiwan, Sept. 27, 2011. A ceremony will be held at the temple to commemorate Confucius (551-479 BC) on Sept. 28, the birthday of the ancient Chinese thinker and educationist and the annual Teacher's Day of Taiwan in honor of him. (Xinhua/Ren Zhenglai)
  • Fourth-grader Ma Lianghai (left) and third-grader Ma Linxiang are engrossed in their work during art class at Zhaojia Elementary School in Dongxiang, Gansu province, on Sept 18. (Photo by Xu Jingxing/China Daily)
  • A model presents a creation by Jannette Klein University, during the DFashion Mexico, Spring-Summer 2011-2012, in Mexico City, capital of Mexico, on Sept. 26, 2011. (Xinhua/Claudio Cruz)
  • The wax figure of actress Audrey Hepburn is seen at the Madame Tussauds Hong Kong in Hong Kong, south China, Sept. 27, 2011. The wax figure of Audrey Hepburn was unveiled in Hong Kong on Tuesday. (Xinhua/Chen Xiaowei)
  • Photo taken on Sept. 26, 2011 shows lighting illuminating the night sky in Guangzhou, capital of south China's Guangdong Province. The first Guangzhou International Lighting Festival kicked off here on Monday. (Xinhua/Shen Dunwen)
Hot Forum Discussion