Politicians Clash Over Foreclosure Bill

June 13th, 2008

An epidemic of foreclosures in the state has become the cause of a fresh clash between City Councilman James Gennaro (D- Fresh Meadows) and Senator Frank Padavan (R- Bellerose).

This is not the first time that the two political rivals have had differences of opinion about an issue. Recently Gennaro was opposed to the naming of a school in Bellerose after Padavan. Legislation regarding environmental review of school sites leased by the city has also been a cause for debate between the two politicians. The legislation was to allow community input and notification on the reviews.

It may be remembered that Gennaro is challenging the Senate seat of Padavan, who has held it for 18 terms.

This time Gennaro has held Padavan responsible for delaying a bill that will put a moratorium on foreclosures based on unscrupulous financial deals. On May 7, 2008, the bill was passed by the Senate with a vote of 118 to 10. According to the moratorium, the ownership of foreclosed homes bought through sub prime loans can be delayed by the courts for as much as year.

At a news conference held in Queens Village last week Gennaro accused Padavan for being responsible for the delays. He reminded those assembled that though Padavan and the Senate had announced the bill with much fanfare , they were now stalling it.

The news conference was held in collaboration with a housing advocacy group ACORN, at the home of Jocelyn Voltaire. Voltaire, 54, has refinanced her home twice with the help of subprime loans. She used the money to educate her son in a private school. Her son, a soldier, was killed in Iraq. Voltaire is now finding it difficult to repay the loans as the bank does not want to negotiate. Voltaire feels strongly about the situation as she has two more children aged 10 and 16 years who she is bringing up.

Padavan called the allegations “sheer nonsense” and attributed the delay to a review of the bill by the governor, who also had his own proposal for it. In this month itself the Senate Banking Committee had held hearings on the bill, he said. Padavan reiterated that these steps were necessary if the bill was to become a law and stand the test of time. He expects it t be passed within a few weeks.

Accusing Gennaro of grandstanding, Padavan was of the opinion that he was being “vilified in a very outrageous and unseemly way”. It was unfortunate that such a serious issue was being used for political gains, he said.