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Missouri Busts Alleged Mortgage Scams

JEFFERSON CITY, Mo. (CN) - The State of Missouri sued two mortgage businesses as part of an announced "zero-tolerance" policy on mortgage scams. Attorney General Chris Koster sued Oxford Lending Group in Clay County and Gold Star Home Mortgage in Boone County.

Koster says Oxford sent out special refinancing offers made to appear as though they were from the federal government and Gold Star sent out ads making it appear that their banks were encouraging them to refinance.

The state demands damages and injunctions.

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