Chicago, IL. - On February 8, 2010, the Honorable Judge David Atkins stayed the sale of the former U.S. Defense Contractors’ residence and set a briefing schedule of March 8, 2010 for Bank of America’s response to the Smiths’ Motion to Vacate the Judgment for Foreclosure and Sale, March 22, 2010 for the Smiths reply and April 6, 2010 for oral arguments in case 06 CH 02503.  In staying the February 18, 2010 sale of the Smiths’ home, the Honorable Judge David Atkins informed counsel for Bank of America that Mrs. Smith had “raised certain issues” that he felt “required an answer.”  After counsel for Bank of America pressed for authorization to conduct the sale, the Honorable Judge David Atkins said if he “ruled against Bank of America there would be no need to conduct the sale.”  On February 10, 2010 Bank of America motioned for a substitution of judge as a matter of right in the foreclosure case. Bank of America also rescheduled the sale of the home for April 15, 2010. The case has now been assigned to the Honorable Judge Franklin U. Valderrama.

Bank of America’s residential foreclosure action against the former U.S. Defense Contractors is based upon a default in a commercial loan that the Smiths allege was made with fraud and circumvention of counsel in the transaction.  In their motions, the Smiths allege that Bank of America filed its Complaint to Foreclose with malicious intent, without probable cause, during settlement negotiations related to the alleged fraudulent commercial loan; causing the former Defense Contractors irreparable harm and damage.  The former Defense Contractors contend their residential mortgage loan was paid to date at the time of the foreclosure filing and that Bank of America didn’t obtain adjudication of the Commercial Guarantee until September 14, 2006, six months and eight days after BofA filed its complaint to foreclose.  Mr. and Mrs. Smith have provided exhibits in support of their claims which include copies of Bank of America’s Loan Decision Summary and Notice of Insurance Requirement that clearly state that the collateral for the commercial loan was a CoFace Insurance policy that BofA intentionally over valued.  Mrs. Smith filed a police report regarding alleged threats and intimidations related to this matter.

On February 16, 2010, in a separate matter regarding the same alleged fraudulent commercial loan, the Honorable Judge Mary Ann Mason set May 6, 2010 as the date on which she will issue her ruling on the former CEO’s allegations of fraud and circumvention of counsel in the commercial loan in case 09 CH 21164.  In Court documents, Bank of America contends that the former CEO’s residence secured the commercial loan.  The Former CEO has produced several documents from Bank of America that clearly show a CoFace insurance policy secured the commercial loan.     Mr. and Mrs. Smith are the former vice president and CEO of Millennium Data Systems, Inc., respectively.

The office of the U.S. Provost Marshall Brigadier General Johnson has informed Mrs. Smith that Lt. Col. Paul Hudson, a criminal investigator, has been assigned to investigate her allegations that BofA and its loan officer used the fraudulent loans and specific threats to force her firm to utilize a specific vendor at a Top Secret Military Facility in Great Lakes Illinois in October of 2004.  Mrs. Smith intentionally sabotaged the presentation to prevent the vendor from obtaining the contract. 

March 1, 2010

Contact: Mr. Stephen M. Smith: Stevelasmith@yahoo.com