Regulations

‘Johnny Lawsky’ leaves New York regulator post — but not before tackling foreclosure problem

New York State Department of Financial Services superintendent resigns, but he’s shining a light on ‘shadow docket’ of foreclosure actions clogging up courts

New York State Department of Financial Services (NYDFS) Superintendent Benjamin Lawsky announced this week that he is stepping down from his post, but he has at least one more parting gift for the real estate industry: tackling the Empire State’s systemic foreclosure problem. Lawsky, who has served as NYDFS superintendent for four years, will leave the department in June. But in a presentation at the Mortgage Bankers Association’s National Secondary Market Conference & Expo, held this week in Manhattan, Lawsky appeared to remain committed to financial services industry reform as he summarized a recent NYDFS report that identified the reasons why New York is plagued by one of the nation’s largest backlogs of delinquent mortgages. Benjamin "Johnny" Lawsky According to the MBA, in the first quarter of this year, 5.5 percent of mortgages in New York were in some state of foreclosure. That’s well above the national average of 2.2 percent, and second only to New York’...