tax-foreclosed properties

DETROIT, MI (AP)--   The Michigan Supreme Court says local governments can't keep surplus cash from the sale of tax-foreclosed properties. 

It's a sweeping decision that could lead to waves of payments to former owners. State law allowed county treasurers to keep money left over after overdue taxes finally are paid from a property sale. The Supreme Court said the practice is illegal under the Michigan Constitution.

The case centered on two sales in Oakland County. In one deal, a man owed $6,000 in back taxes, but the county also kept a $76,000 surplus from the land sale.

LANSING, MI (AP)--   The state of Michigan will auction 380 tax-foreclosed properties located in eight counties next week.  

The auctions are scheduled for Aug. 23-24.

Roughly 230 parcels in Iosco, Keweenaw, Luce and Mecosta counties will go to auction Tuesday at the Ramada Inn in Grayling. Another 150 properties in Branch, Clinton, Livingston and Shiawassee counties will go to auction next Wednesday at the Ramada near Lansing.

The properties have been foreclosed because of delinquent property taxes.