• About

Desperado's Outpost

Desperado's Outpost

Category Archives: Foreclosures

“Robo-signing” Hasn’t Stopped

19 Tuesday Jul 2011

Posted by Craig in Foreclosures

≈ Leave a comment

Tags

AP, federal crime, foreclosures, mortgages, robo-signing

AP:

“Mortgage industry employees are still signing documents they haven’t read and using fake signatures more than eight months after big banks and mortgage companies promised to stop the illegal practices that led to a nationwide halt of home foreclosures.

County officials in at least three states say they have received thousands of mortgage documents with questionable signatures since last fall, suggesting that the practices, known collectively as “robo-signing,” remain widespread in the industry.

The documents have come from several companies that process mortgage paperwork, and have been filed on behalf of several major banks…Lenders say they are working with regulators to fix the problem but cannot explain why it has persisted.”

It doesn’t take Lieutenant Columbo to solve this mystery. The answer lies further down in the same article. There’s this:

“It is a federal crime to sign someone else’s name to a legal document. It is also illegal to sign your name to an affidavit if you have not verified the information you’re swearing to. Both are punishable by prison.”

And then there’s this:

“In Guilford County, N.C….suspect signatures on the paperwork include 290 signed by Bryan Bly and 155 by Crystal Moore. In the mortgage investigations last fall, both admitted signing their names to mortgage documents without having read them. Neither was charged with a crime.

[…]

So far, no individuals, lenders or paperwork processors have been charged with a crime over the robo-signed signatures found on documents last year.”

Case closed.

Advertisement

President Obama to Meet With Corporate CEOs

13 Monday Dec 2010

Posted by Craig in budget, economy, Foreclosures, Obama, Politics, Social Security, special interests, Unemployment

≈ Leave a comment

Tags

99ers, Bernanke, Camden, COLA, corporate chiefs, firefighters, foreclosure fraud, gasoline, Geithner, home heating oil, laid off, legal aid, police, President Obama, quantitative easing, roundtable, Social Security

*Sigh*

“President Obama will host a roundtable with about 20 corporate chiefs on Wednesday, according to the White House, part of an attempt to ease strained relations with business.

Expected for the session at the Blair House, across the street from the White House, are executives from a range of industries, including American Express, Cisco Systems, Dow Chemical, Google, Motorola, Intel, UPS and PepsiCo, according to people involved in the planning. But the White House said it would not divulge attendees until the meeting.

With the mood for the meeting already lightened by his recent announcements of a trade deal with South Korea and a compromise on tax cuts with Congressional Republicans, Mr. Obama and the executives will discuss a variety of issues, said Jen Psaki, the White House deputy director of communications. Among the topics will be deficit reduction, an overhaul of the tax code, government regulation, export promotion, public-private investments in areas like technology and clean energy, and efforts to improve education and job skills, Ms. Psaki said.”

How about this “roundtable” Mr. President. How about meeting with the long-term unemployed—the 99ers—asking them how they intend to get by on the big, fat zero your “compromise” did for them? What about meeting with the firefighters and police who have been laid off due to state budget cuts, like in Camden, NJ where half of the police and a third of the firefighters are headed out the door.

What about meeting with the Social Security recipients who haven’t had a COLA increase in two years, and the federal workers whose pay you propose to freeze? Ask them how they’re going to handle rising gasoline prices, which could reach $3.50 a gallon by spring, and home heating oil prices, which are 13% more than last winter, brought on by Fed Chairman Bernanke’s “quantitative easing.” I guess they’ll have frozen homes to go along with their frozen pay. Ask the victims of foreclosure fraud how they feel about being denied legal aid by Treasury Secretary Geithner.

What about “easing strained relations” with these people? Or don’t they matter? Probably not. The unemployed, the laid off firefighters and police, Social Security recipients, and those facing foreclosure don’t write the checks with enough zeroes on them to finance that billion dollar re-election campaign like the CEOs do.

A Conversation With Thomas Jefferson

22 Monday Nov 2010

Posted by Craig in Afghanistan, Bill of Rights, Financial Crisis, Foreclosures, lobbyists, Politics, special interests, Uncategorized, Wall Street

≈ Leave a comment

Tags

Afghanistan, airports, author, banking institutions, civil liberties, Constitution, corporate interests, Declaration of Independence, despotism, Don't Ask Don't Tell, equal rights, financial system, foreclosuregate, liberty, security, September 11, Thomas Jefferson, trial by jury, tyranny

I recently sat down for an interview (sort of) with our third president and author of the Declaration of Independence, Thomas Jefferson. The questions are mine, the responses all quotes attributed to Jefferson. You could look it up:

Mr. Jefferson, a topic in the headlines lately are the security measures being taken in our airports, the aim of which is, allegedly, our safety. What is your opinion on that?

“I would rather be exposed to the inconveniences attending too much liberty than to those attending too small a degree of it.”

Many Americans are protesting these actions by government officials. Would you support that effort?

“All tyranny needs to gain a foothold is for people of good conscience to remain silent…Timid men prefer the calm of despotism to the tempestuous sea of liberty.”

Some see this as the continuation of policies instituted after September 11 which erode our civil liberties and Constitutional protections. Your thoughts?

“Single acts of tyranny may be ascribed to the accidental opinion of the day; but a series of oppressions, begun at a distinguished period, and pursued unalterably through every change of ministers too plainly proves a deliberate, systematic plan of reducing us to slavery.”

Also, on a related subject, what about the controversy over whether or not to try terrorist suspects in civilian court?

“I consider trial by jury as the only anchor yet devised by man, by which a government can be held to the principles of its constitution.”

Moving on to economic issues, have you been keeping up with what’s been labeled Foreclosuregate?

“If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered.”

What about the influence of the financial system on our political process?

“I believe that banking institutions are more dangerous to our liberties than standing armies. Already they have raised up a moneyed aristocracy that has set the Government at defiance. The issuing power should be taken from the banks and restored to the people to whom it properly belongs.”

And the influence, in general, of special and corporate interests?

“Merchants have no country. The mere spot they stand on does not constitute so strong an attachment as that from which they draw their gains.”

What about the ongoing wars in Afghanistan and elsewhere around the world?

“I abhor war and view it as the greatest scourge of mankind…I love peace, and am anxious that we should give the world still another useful lesson, by showing to them other modes of punishing injuries than by war, which is as much a punishment to the punisher as to the sufferer.”

“War is an instrument entirely inefficient toward redressing wrong; and multiplies, instead of indemnifying losses.”

Any thoughts about ending the policy of Don’t Ask, Don’t Tell?

“Bigotry is the disease of ignorance, of morbid minds…Bear in mind this sacred principle, that though the will of the majority is in all cases to prevail, that will to be rightful must be reasonable; that the minority possess their equal rights, which equal law must protect, and to violate would be oppression.”

In closing, Mr. President, any final words of guidance for the American people?

“If a Nation expects to be ignorant and free in a state of civilization, it expects what never was and never will be…. If we are to guard against ignorance and remain free, it is the responsibility of every American to be informed.”

“The two enemies of the people are criminals and government, so let us tie the second down with the chains of the Constitution so the second will not become the legalized version of the first.”

Thank you, sir.

“The Foreclosure Crisis in 30 Seconds”

01 Monday Nov 2010

Posted by Craig in economy, Foreclosures

≈ Leave a comment

Tags

Congressional Oversight Panel, Damon Silvers, foreclosuregate

Damon Silvers of the Congressional Oversight Panel on the Foreclosuregate options:

“We are faced with a choice here. We can either have a rational resolution to the foreclosure crisis or we can preserve the capital structure of the banks. We can’t do both.” ”

Dems Get $32 Million Line of Credit from Bank of America

28 Thursday Oct 2010

Posted by Craig in Bank of America, Congress, Democrats, Foreclosures, Obama administration, Politics, Wall Street

≈ Leave a comment

Tags

$15 million, $17 million, Bank of America, Democratic Congressional Campaign Committee, Democratic National Committee, foreclosure, line of credit, moratorium, Obama administration

I’m sure the Obama administration’s opposition to a national foreclosure moratorium and its willingness to look forward and give the big banks, Bank of America for instance, a do-over on fraudulent court documents has absolutely nothing to do with this:

“Shortly after Labor Day, as polls continued to sink, the Democratic National Committee (DNC) realized it needed a cash infusion for the upcoming midterm elections. Its chairman, former Virginia Governor Tim Kaine, turned to the Bank of America to secure a $15 million revolving credit line. Then, in the middle of this month, the Democratic Congressional Campaign Committee (DCCC) got another loan from BofA for an additional $17 million.”

Nothing to see here. Move along.

William Black: “Fire Holder, Fire Geithner, Fire Bernanke”

26 Tuesday Oct 2010

Posted by Craig in AIG, bailout, Financial Crisis, Foreclosures, Justice Department, Obama administration, too big to fail, Wall Street

≈ Leave a comment

Tags

AIG, Andy Fastow, Bernanke, Dylan Ratigan, Geithner, Holder, Jeff Skilling, Neil Barofsky, Troubled Asset Relief Program, William Black, Zero Hedge

Lisa Epstein and William Black on Dylan Ratigan’s show yesterday:

Speaking of Geithner telling “one lie after another”:

“The United States Treasury concealed $40 billion in likely taxpayer losses on the bailout of the American International Group earlier this month, when it abandoned its usual method for valuing investments, according to a report by the special inspector general for the Troubled Asset Relief Program.

“In our view, this is a significant failure in their transparency,” said Neil M. Barofsky, the inspector general, in an interview on Monday.”

Zero Hedge has more of Mr. Barofsky’s report:

“This conduct has left the Treasury vulnerable to charges it has manipulated its methodology for calculating losses to present two different numbers depending on its audience: one designed for release in early October as part of a multifaceted publicity campaign touting the positive aspects of TARP and emphasizing the reduction in anticipated losses, and one, audited by the GAO for release in November as part of a larger audited financial statement. Here again, Treasury’s unfortunate insensitivity to the values of transparency has led it to engage in conduct that risks further damaging public trust in the Government.”

‘Manipulated its methodology for calculating losses?” Didn’t Jeff Skilling and Andy Fastow go to prison for that?

“Risks further damaging public trust in the Government?” Is that even possible?

Foreclosuregate, Cont’d

20 Wednesday Oct 2010

Posted by Craig in economy, Foreclosures, Justice Department, Obama administration, too big to fail, Wall Street

≈ Leave a comment

Tags

Bank of America, BlackRock, bonds, Financial Fraud Enforcement Task Force, foreclosures, internal review, Metlife, New York Federal Reserve, no errors, PIMCO

Bank of America has completed its “internal review” of alleged improprieties in its foreclosure proceedings–a review of 102,000 foreclosures that took all of 17 days–and found, surprise surprise, zero mistakes:

“Bank of America  announced on Monday that it would resume home foreclosures in nearly two dozen states, despite the running controversy over how banks handled tens of thousands of cases of homeowners facing eviction.

Bank of America, the nation’s largest bank and the servicer of roughly one in five American mortgages, insisted that it had not found a single example where a foreclosure proceeding was brought in error.”

Not so fast, says one state’s assistant attorney general involved in their own investigation:

“A day after the bank said it would once again pursue defaulting borrowers in the 23 states where foreclosures were overseen by the courts, judges in Florida said they were expecting even more challenges from defaulting homeowners.

…“There has been an attempt by some of the major servicers to indicate there are no problems,” said Patrick Madigan, an assistant attorney general in Iowa. “We’re not at the end of this process. We’re at the beginning.”

But BofA has much bigger problems than a few lawsuits from a few homeowners, the big boys are coming after them to buy back the mortgage bonds packed with toxic garbage that BofA was peddling:

“The fears behind mortgage bond-gate might be real after all. Reports indicate that Bank of America is has been asked to repurchase some of its mortgage bonds by some very prominent investors due to procedural failures. Who are those investors? BlackRock Inc. — the largest money manager in the world, PIMCO — the largest Bond fund investor, and the New York Federal Reserve are said to be among them…Metlife, the biggest U.S. life insurer, is expected to join this group of investors demanding repurchase.

Bank of America is the target thanks to its acquisition of Countrywide in 2008. These investors say that Countrywide failed to properly service mortgages which were repacked into bonds. How many bonds? According to Bloomberg, these investors want Bank of America to repurchase $47 billion worth.”

Here’s why this entire fiasco, from origination to securitization to foreclosure, is going to be difficult if not impossible to unwind. From a BofA June court filing:

“It appears as though many loans and other mortgage-related assets have been double and even triple-pledged to various constituencies”…[T]hat is the reason that two different banks sometimes try to simultaneously foreclose on the same home.”

Finally, the feds are getting in on the act, too:

“Members of President Obama’s Financial Fraud Enforcement Task Force [Justice, Treasury, HUD, and the SEC] and other administration officials are scheduled to meet Wednesday to discuss the foreclosure crisis.”

Frankly, I have no confidence that anything substantive will come from this group. I see one of two outcomes. Either they open an investigation, bury it, and we never hear a word of it again, or they go after a few low-level flunkies and the MOTU skate. As usual.

To be continued…

Foreclosure Fraud Just the Tip of the Iceberg

12 Tuesday Oct 2010

Posted by Craig in bailout, Congress, economy, Financial Crisis, financial reform, financial regulation, Foreclosures, Justice Department, Obama administration, special interests, too big to fail, Wall Street

≈ 2 Comments

Tags

40 states, attorneys general, bailout, BofA, Chase, Congress, David Axelrod, Dylan Ratigan, financial reform, foreclosure, fraud, insolvent, Karl Denninger, Market Ticker, mortgages, national moratorium, resolution authority, securities, Wall Street, White House

Dylan Ratigan, Ohio Secretary of State Jennifer Brunner, and Karl Denninger of The Market Ticker unravel foreclosure fraud:

To reiterate, the fraud in foreclosures that we’re seeing now is just the tip of the iceberg. The purpose is to try and cover up, and cover for, the fraud in the mortgage process all the way back to the origination of the mortgages, which were then packaged into securities and fraudulently sold to investors as AAA quality, a rating gained by paying off the ratings agencies. As our parents always told us, one lie requires another one to cover up the first one, which requires another lie to cover up the second one, and so on, and so on, and…….

In my opinion, that’s why the Senate tried to sneak through the legislation that President Obama vetoed—it would have given the big banks protection from liability in this entire mess. As an aside–again just my opinion– but the only reason the president vetoed the bill was because of the attention it received and the light that was shone on its alleged “unintended consequences” (and if you’ll buy that….) My cynical nature when it comes to politicians tells me that “sending the bill back for modifications” translates into, ‘We’ll try again when the heat’s off.’

It’s also why, according to David Axelrod, the hope in the White House is that “this moves rapidly and that this gets unwound very, very quickly.” And why the White House opposes a national moratorium on foreclosures. A moratorium would give investigators and especially some 40 states’ attorneys general time to delve back into fraud and deceit at every level of the process

As Mr. Denninger explained, the only remedy is to force the big banks to buy back the toxic securities that they sold to investors under false pretenses. They can’t do that, which means Chase, BofA, et al, are insolvent. Actually, they’re insolvent now but for the phony profits from peddling this garbage to unsuspecting investors.

There is a provision in the financial reform legislation for resolution authority, that is breaking up large financial institutions that pose a “systemic risk” to the entire economy. Will Congress use it or will they do what they have done in the past and bail out their Wall Street cronies and contributors—again. If Republicans take control of Congress will they hold true to their campaign rhetoric of “no more bailouts” or will they dance to the tune of their big donors on Wall Street?

We may soon find out.

Recent Posts

  • Turn Out the Lights, the Revolution’s Over
  • Climbing Aboard the Hillary Train
  • You Say You Want a Revolution…
  • Proud to be a War Criminal
  • Drug Testing Welfare Applicants Struck Down in Florida

Archives

  • March 2016
  • February 2016
  • January 2016
  • April 2014
  • January 2014
  • April 2012
  • March 2012
  • February 2012
  • August 2011
  • July 2011
  • June 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • July 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • January 2009
  • December 2008
  • November 2008
  • October 2008
  • September 2008
  • August 2008

Blogroll

  • Bankster USA
  • Down With Tyranny
  • Firedoglake
  • Memeorandum
  • naked capitalism
  • Newshoggers
  • Obsidian Wings
  • Taylor Marsh
  • The Market Ticker
  • Tom Dispatch
  • Zero Hedge

Categories

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 7 other subscribers
  • RSS - Posts
  • RSS - Comments

Blog at WordPress.com.

Privacy & Cookies: This site uses cookies. By continuing to use this website, you agree to their use.
To find out more, including how to control cookies, see here: Cookie Policy
  • Follow Following
    • Desperado's Outpost
    • Already have a WordPress.com account? Log in now.
    • Desperado's Outpost
    • Customize
    • Follow Following
    • Sign up
    • Log in
    • Report this content
    • View site in Reader
    • Manage subscriptions
    • Collapse this bar