Google is our friend:
http://www.foreclosurelistings.com/content/foreclosures/couple-from-new-bedford-filed-a-lawsuit-wrong-foreclosure.htm
http://www.lasvegassun.com/news/2010/jan/02/they-forclosed-wrong-house/
http://www.tampabay.com/news/business/realestate/bank-of-america-forecloses-on-house-that-couple-had-paid-cash-for/1072632
http://www.thelaw.com/forums/showthread.php?t=44109
There are many more examples. These banks, and their employees, deserve to be criminally prosecuted for their actions. It was their stupidity in lending money to people who could not pay it back that in part led to this mess, and now the same sloppiness plagues the foreclosure process. If the banks suffer more missing payments from deadbeat borrowers who should be foreclosed on because the banks insisted on foreclosing on the wrong properties... then oh well, they should get the process done right first.
The banks won't suffer. It's the beleaguered taxpayer, who will eventually have to bail out the reckless bankers, who will suffer. It's the would-be homeowner, who has been waiting and waiting for houses to reach an affordable price, who will suffer.