Struthers councilman vacates home as part of settlement

Staff report

STRUTHERS

Joseph Rudzik came to a settlement with CitiMortgage Inc., a mortgage lender in O’Fallon, Mo., over a dispute involving purported misappropriations of funds.

The Struthers councilman, who is running for re-election, referred all questions to his attorney, Bob Yallech, who said Rudzik received an undisclosed but “significant amount of money” from CitiMortgage.

According to court documents, the dispute between the parties was over a transaction that started in 2009 over a note for the property on Maplewood Avenue.

Rudzik and his wife inquired about a home-loan modifications program with CitiMortgage Inc. to see if they were eligible. The Rudziks entered into a trial period with the mortgage lender with their payments reduced, which they made on time. But months later, they received a letter from CitiMortgage that said they were late on payments.

In July 2012, CitiMortgage brought a foreclosure action against them, saying they were in default on their note. CitiMortgage then moved for foreclosure and stopped accepting payments.

As part of the settlement, Rudzik would vacate his home, and plans to build another home in the area.