Florida proposed legislation - HB 87 and SB 1666 - which backers claim will clear the backlog of foreclosure cases in Florida instead invites bank fraud and creates more problems by putting speed ahead of justice. The backlog is blamed on foot dragging by homeowners. In reality, banks are to blame due to federal directives to pursue loss mitigation alternatives or by voluntarily slowing down the process to explore settlement options in the interests of both parties and the market.
Anatomy of Mortgage Fraud, (Parts 1,2, and 3) MERS's Smoking Gun" L. Randall Wray, UMKC, Huffington Post
Readers this is a very long article and it is a very complete review of the mortgage fraud as an economic model. If you have kept up on the fraud as it has been exposed this will be familiar territory. Otherwise, here it all is in pretty much one place. Tadit Anderson
False Attorney Signatures Cast New Doubts on Foreclosures by Sasha Chavkin ProPublica, Dec. 13, 2010
Readers, this article describes one more level at which the mortgage backed securitization process has been fraudulent. This is all part of the process of control fraud where permission and even direct reward for committing fraud in a corporate enterprise and further in an entire market of transactions is signaled and even demanded from the leadership positions. As a process it provides a level of thin deniability, but it establishes objectives for the operation and market which cannot be met by any method other than fraud. Tadit Anderson
How Joseph Lents Dodged Foreclosure for 8 Years and Started a Movement By P. Coy, P. M. Barrett and C. Terhune Oct 21, 2010
Readers, as extensive as this article is it goes lightly on critixizing the mortgage banks or a better choice of works would use "mortgage mills." I'll guarantee that the level of fraud is much, much higher that they are willing to admit. The comment about the process pressing banks into positions of "negative capital" is garbage. Most of the big banks are already in negative capital positions, but it doesn't show up due the the amendments that the banking cartel pushed through Congress which allows parking toxic mortgages off of their accouinting statements.
"Specious Arguments Against a Bank Holiday-Part Two" by William K. Black & L. Randall Wray, UMKC, Economic Perspectives from KC
Readers, these two articles. part one published a few days ago, are great, and not yet complete. Because the banks also placed these foreclosed properties back into the names of the owners prior to the foreclosure fraud so that they could evade paying paying local property taxes and likewise property insurance, there are at least two more pieces to the typical package of fraud by the banksters.
"Banks Face Mortgage Scrutiny as $49 Billion in Value Vanishes" By Dakin Campbell - Bloomberg, Oct 18, 2010
An investigation by attorneys general in all 50 states into foreclosure practices has fueled speculation that banks will have to purchase billions of dollars in loans from mortgage-bond investors who will challenge the paperwork. Photographer: Jacob Kepler/Bloomberg
Citigroup Inc., Bank of America Corp. and Wells Fargo & Co., set to report earnings this week, face investors groping for answers after evidence of flawed foreclosure documents triggered a selloff of U.S. bank stocks.
The Elephant(s) in the Foreclosure Fraud Room: Second Liens (and more) by Zach Carter, AlterNet 21 Oct. 2010
Dear readers, It just keeps getting worse. In addition to the issue of second liens one topic that has not come up is that the banks are putting foreclosed properties, even if the properties are still occupied by the former owner, back into the name of the former owner without the permission of the former owner so that the banks will not have to pay either property taxes to local governments or insurance on the house in case of a problem such as a fire. It is reasonable to suppose that the banks haver also placed themselves as the beneficiaries of those insurance policies.
With well over a million homes being repossessed, 2010 is shaping up to be a record year for foreclosures in the U.S. But there are serious questions about the way many have been carried out, and now prosecutors are investigating whether some of the country's largest banks committed fraud.
Bank of America, Chase and GMAC Mortgage have put tens of thousands of foreclosures on hold and lawmakers are calling for a nationwide moratorium after bank employees acknowledged that they failed to conduct required reviews.
The big banks that caused the collapse of the global finance market, and received tens of billions of dollars in taxpayer-funded bailouts, have likely been engaging in wholesale fraud against homeowners and the courts. But in a promising development this week, attorneys general from all 50 states announced a bipartisan joint investigation into foreclosure fraud.
Readers, it is probably no surprise that Staughton Lynd is so similar to Howard Zinn, or perhaps it is in that there are actually so few of these people in the world. I like particularly his story about his father going to Wyoming and his criticism of Saul Alinsky, Alinsky was a popular self styled "radical" whose idea of organizing was more liberal in the lesser sense and actually in the net analysis very ineffective. I first encountered Lynd's work in material he had prepared for draft counseling programs and as related to conscientious objection.