J.P. Morgan Acknowledges Wrongful Military Foreclosures

http://online.wsj.com/article/SB10001424052748704678004576090224257754378.html?mod=WSJ_hp_LEFTWhatsNewsCollection

Don't bother with the wsj story, what's there is already printed here.
But I did find more information about it on the Home and gardening page on MSNBC.
Is it just me or does it look like someone actually doesn't want to make JP's rip off of active duty service people common knowledge?
Heads up Military people, if JP did it so did the rest and you rightfully deserve some money back.
And the legality of what the Mortgage Investment banking scum has been overlooked by our governments (local and Federal) WHY?
This was no mistake! Just like none of the rest of the illegalities have been.



J.P. Morgan Chase & Co. wrongly foreclosed on 14 active-service military families and overcharged thousands more on their mortgages, an internal bank review has found.

The bank said about a year ago it launched the internal audit and found it made mistakes when accounting for active military service under the Servicemembers Civil Relief Act. That 2003 law says active-duty military families' interest rates on homes can be no more than 6%, and they aren't subject ...


http://today.msnbc.msn.com/id/41043127/ns/today-today_home_and_garden/
The dispute apparently caused the bank to review its handling of all mortgages involving active-duty military personnel. Under a law known as the Servicemembers Civil Relief Act (SCRA), active-duty troops generally get their mortgage interest rates lowered to 6 percent and are protected from foreclosure. Chase now appears to have repeatedly violated that law, which is designed to protect troops and their families from financial stress while they’re in harm's way.

A Chase official told NBC News that some 4,000 troops may have been overcharged. What’s more, the bank discovered it improperly foreclosed on the homes of 14 military families

She said that beginning this week Chase will be mailing a total of about $2 million in refunds to families that may have been overcharged. She says most of the families improperly foreclosed on have gotten or will get their homes back. A bank official described what happened here as “grim,” but emphasized the mistakes were inadvertent, not malicious

JPMorgan exits electronic mortgage tracking system

http://news.yahoo.com/s/ap/20101013/ap_on_bi_ge/us_jpmorgan_mortgages

MERS authenticity of legal title transfer.....case closed.
Now the shit just legally hit the fan.


JPMorgan Chase's CEO says the bank has stopped using the electronic mortgage tracking system used by major financial institutions.

Lawyers have argued in court proceedings that the system is unable to accurately prove ownership of mortgages.

Goldman reveals where bailout cash went

http://www.usatoday.com/money/industries/banking/2010-07-24-goldman-bailout-cash_N.htm
By Karen Mracek and Thomas Beaumont, Des Moines Register

It's enough to make you sick.

Goldman Sachs sent $4.3 billion in federal tax money to 32 entities, including many overseas banks, hedge funds and pensions, according to information made public Friday night.
"We thought originally we were bailing out AIG. Then later on ... we learned that the money flowed through AIG to a few big banks, and now we know that the money went from these few big banks to dozens of financial institutions all around the world."

Grassley said he was reserving judgment on the appropriateness of U.S. taxpayer money ending up overseas until he learns more about the 32 entities.

Goldman Sachs (GS) received $5.55 billion from the government in fall of 2008 as payment for then-worthless securities it held in AIG. Goldman had already hedged its risk that the securities would go bad. It had entered into agreements to spread the risk with the 32 entities named in Friday's report.

Overall, Goldman Sachs received a $12.9 billion payout from the government's bailout of AIG, which was at one time the world's largest insurance company.

Goldman Sachs also revealed to the Senate Finance Committee that it would have received $2.3 billion if AIG had gone under. Other large financial institutions, such as Citibank, JPMorgan Chase and Morgan Stanley, sold Goldman Sachs protection in the case of AIG's collapse. Those institutions did not have to pay Goldman Sachs after the government stepped in with tax money.

Goldman had not disclosed the names of the counterparties it paid in late 2008 until Friday, despite repeated requests from Elizabeth Warren, chairwoman of the Congressional Oversight Panel.

"I think we didn't get the information because they consider it very embarrassing," Grassley said, "and they ought to consider it very embarrassing."

Fannie, Freddie Ask Banks to Eat Soured Mortgages

http://www.businessweek.com/news/2010-03-05/fannie-freddie-may-ask-banks-to-eat-21-billion-of-sour-loans.html

There's more than one way to skin a fat cat

Banks that sell mortgages to Fannie Mae and Freddie Mac have to provide “representations and warranties” assuring that the loans conformed to the agencies’ standards. With more loans going bad, the agencies are demanding that banks turn over loan files, so they can scour the records for missing documentation, inaccurate data and fraud.

Providing Proof

The most common include inflated appraisals or falsely stated incomes in the loan applications, said Larry Platt, a Washington-based partner at law firm K&L Gates LLP who specializes in mortgage-purchase agreements. The government agencies hire their own reviewers who go back and compare the appraisals with prices from historical home sales, he said.

“They may do a drive-by for a visual inspection,” he said