Attorney General Eric Holder said Wednesday the Department of Justice is looking into allegations that major U.S. lenders may have improperly processed mortgage foreclosures.

Speaking at a news conference Wednesday, Holder's comments come just a day after House Speaker Nancy Pelosi (D., Calif.) and other House California Democrats urged top officials in the Obama administration to investigate the matter.

"We are aware of the charges that have surfaced in the newspapers in the last couple of days, and we are looking at them," Holder said.

Over the last several days, reports have emerged that major lenders including Ally Financial Inc. [formerly GMAC], Bank of America Corp. (BAC) and J.P. Morgan Chase & Co. (JPM) are temporarily suspending processing of mortgage foreclosures as they review whether problems exist within their systems.

The California lawmakers urged Holder as well as the Federal Reserve and Treasury to investigate the matter.

-By Corey Boles, Dow Jones Newswires; 202-862-6601; corey.boles@dowjones.com
General Motors Pines (NYSE:GMA)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more General Motors Pines Charts.
General Motors Pines (NYSE:GMA)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more General Motors Pines Charts.