You are right! That was outrageously ILLEGAL! Normally, Australian banks try to trick people into signing agreements that let them "steal" their property, but this time they didn't even bother with trickery, just went straight to corruption and fraud.
Something very similar happened (and may still be happening) across Florida in the USA. The fraud, of course, spread to more states of the USA. There is a semi-famous law firm, MFI-MIAMI, Mortgage Fraud Investigations, that often is hired to defend victims of these frauds. Read more about the cases they handled here:
https://mfi-miami.com/introduction-to-mfi-miami/
Lots of shocking stories.
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