| IBJ Staff |
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American Home Mortgage Co., which shut down mortgage operations Aug. 2 in the Indianapolis area as part of a broader move nationwide, has followed through with a widely anticipated Chapter 11 bankruptcy filing, according to Bloomberg.
The Melville, N.Y., giant listed more than $100 million of assets, and debts exceeding $100 million to 100,000-plus creditors.
The Melville, N.Y., company operated offices in Carmel, Greenwood and Plainfield.
Also swept into the shutdown was American Home Mortgage's Fort Wayne office, where 155 workers remained after it bought mortgage lender Waterfield Financial Corp. in January 2006. Hundreds were laid off soon after the acquisition of the Fort Wayne company.
When American Home Mortgage announced Aug. 2 it would close its mortgage business, the company said only 750 of its 1,000 workers would keep their jobs.
The collapse has sent additional shudders through the industry because, while not lending to top-bracket borrowers, American Home Mortgage was not among the sub-prime lenders crumbling under weight of loans extended to buyers who moved into houses on a shoestring. |
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