LOS ANGELES (CN) - A millionaire soft-core porn king claims in court that JPMorgan Chase violated the law and its own policies by refusing to underwrite a loan, for "moral reasons."
Marc L. Greenberg - the producer behind the soft-core porn series "Co-Ed Confidential" and "The Best Sex Ever," among others - claims that Chase advertises its commitment to fair lending and non-discriminatory business. So when a JPMorgan Securities vice president approached him about refinancing one of his properties in Marina Del Ray, Greenberg says, he expected to be treated fairly - regardless of his profession.
He sued JPMorgan Chase & Co. in Superior Court.
"As a current JPMorgan securities customer and home loan lendee, plaintiff had previously researched and was familiar with JPMorgan's representations and promises of commitment to fair lending, diversity and non-discriminatory practices. Based on these representations and fair lending policies, plaintiff decided to obtain a home loan refinance service from JP Morgan," Greenberg says in his complaint.
Greenberg says he expected a quick approval, given his established relationship with Chase, an annual income of more than $500,000 and a net worth of more than $10 million.
But Greenberg claims Chase gave him the runaround for four months, telling him he needed to speak to a credit specialist because of questions "regarding income."
Whether Greenberg ever spoke to a credit specialist is not specified in then complaint. But by Aug. 15, 2012 -after four months of processing - Greenberg says he called JPMorgan Securities Vice President Adam Gelcich directly.
"Adam Gelcich was evasive in his response to plaintiff's application status requests and finally informed plaintiff during a telephone conversation that plaintiff's loan application was refused due to 'moral reasons,' because of JPMorgan's disapproval of plaintiff's former source of income and occupation as an owner of a television production company that produced television programs that dealt with the subject of human sexuality. Plaintiff's repeated attempts to obtain a written statement of the reasons for the denial of his loan application and a copy of JPMorgan's 'morals clause' were ignored. Communication with Adam Gelcich abruptly ceased," Greenberg says in his complaint.
Gelcich is not a party to the complaint. The only defendant is the bank and Does 1 to 100.
Greenberg claims he sent Gelcich an email crying foul over what he perceived to be JPMorgan Chase's discriminatory lending practice. He threatened legal action and served the bank with an intent to sue notice - which caught the attention of Deb Vincent, a VP in Chase's legal fair lending department.
Greenberg says Vincent asked for information to locate Greenberg's file. He says he gave her his Social Security number, Chase account number and address.
"On Dec. 13, 2012 plaintiff received a letter from Deb Vincent stating that they are 'unable to provide any resolution to [plaintiff's] allegations, as [JPMorgan] is unable to locate any refinance application from [plaintiff]," Greenberg says in the complaint. (Brackets in original.)
For the next several weeks, Greenberg's lawyers pressed Vincent to find the loan application, according to the complaint. Eventually, Greenberg claims Vincent, told him Gelcich no longer worked for Chase and she was "'unable to locate someone who may have worked with or managed Adam Gelcich.'"
But Greenberg claims says Gelcich was still working at JPMorgan Chase - which is where Greenberg's legal team discovered him and had a little chat.