African-American homeowners whose government-guaranteed mortgages were auctioned by the U.S. Department of Housing & Urban Development (HUD) to the highest bidder filed a class action lawsuit on Friday in federal court, exposing the discriminatory impact of HUD’s Note Sale Program, compelling HUD to review the disparate racial impact of the Program and demanding that HUD give notice – and an opportunity to be heard – before any future Note Sales are conducted. Read complaint. Read NY Times article.