Key board member resigns from Ocwen

by MPA24 Nov 2014
Wilbur Ross, sizable owner and board member of Ocwen Financial, has announced he is leaving the company and others, including, NBNK Ltd, Navigator Holdings Ltd. and Talmer Bancorp.

Ross will serve as vice chairman of the troubled Bank of Cyrus alongside the bank’s newly elected chairman, Dr.Josef Ackerman, according to a statement from WL Ross & Co. LLC. “I am delighted to help chairman Ackermann and president and CEO John Hourican to revitalize this institution, " said Ross. "The new European rules limiting dictatorships of bank officers require that I resign from several other board of directors.”

According to Ocwen, Ross' decision to resign as a director "was not due to any disagreements with the company on any matter relating to the company's operations, policies or practices." In September, the Central Bank of Cyprus instructed the entire Bank of Cyprus board to resign and pushed for Wilbur Ross to serve on its board after he invested almost $500 million through a private placement. The turnaround executive now controls 19% of the outstanding shares of Bank of Cyprus.

Ross is an American distressed-asset investor known for restructuring failed companies in industries including steel, coal, telecommunications, foreign investment and textiles. He specializes in leveraged buyouts and distressed businesses. He became a board member at Ocwen after the company purchased his Homeward Residential more than two years ago.

Ocwen is currently being accused of denying struggling borrowers the chance to fix loan problems and avoid foreclosures. A recent investigation by the New York's Department of Financial Services found that Atlanta-based Ocwen Financial inappropriately backdated thousands of time-sensitive letters to mortgage borrowers and did not take action to fix the issue despite repeated notices of concern.


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