The Next Robo-Signing Crisis?

http://finance.yahoo.com/news/The-Next-RoboSigning-cnbc-2857229679.html?x=0&sec=topStories&pos=3&asset=&ccode=

I suppose the time has come to ask the the big question.
Where there any legal procedures followed correctly by the mortgage banking industry within the last 12 years?
Odds are no.
How bizarre is it that they used MERS to record thus bypassing the recording fees rightfully due every county that a sale was made in, and yet when it came down to foreclosure time their use of the county recorders office became imperative in order to for the notice of foreclosure sale to be published.

I have to laugh at the "light bulb moment" that CNBC now seems to be having about this issue since they seem to be a tad behind the rest of the class.
Karl Denninger and the kids over at Zerohedge as well as George over on Washington's blog have already written as well as proof read this assignment last year and received an A+ and a gold star for the actualities of what has really gone down concerning the illegalities of what the mortgage investment banks where doing and had already done.
It must be hell to have to wait on the short bus CNBC, since it's always the last to arrive.

It's the next big shoe to drop in the robo-signing foreclosure scandal. Call it part two.

We already know some banks halted foreclosure sales nationwide in October when it was discovered that servicers took short cuts, so-called "robo-signing" in the foreclosure sale process in judicial foreclosure states - about half the country.

Now it appears they may have done the same thing in a different part of the process, the Notice of Default, which takes place in the other half - i.e. the non-judicial states - this happens before the foreclosure sale.

Florida’s Killer Presentation on Foreclosure Fraud

http://news.firedoglake.com/2011/01/06/floridas-killer-presentation-on-foreclosure-fraud/

If you do nothing else today find the time to flip through the Florida AG's slide presentation and see for yourself why the foreclosure fraud is being made such a big deal of.
Foreclosure is running unchecked, across this country and all the banks used the same system, which is the one the Florida AG has outlined here for you.
I seriously doubt that another foreclosure can legally take place anywhere in this country unless the note was procured after "the light of reason" showed just how illegal the banking foreclosure procedures where.
Ladies and gentleman , this country has been systematically raped and robbed by it's own investment banking elite, who not only knew better, but they personally designed the system in which to do it in.
It's time that their wings were clipped and cuffed, and that they be instituationalized like the jail birds they should be.
There is no more turning a blind eye to the elite, it's now time to place them under the heat of the magnifiying glass under the full glare of the sun.



I’ve mentioned this report from the Florida Attorney General’s office twice now, but I thought I’d highlight it again, because it makes the issues in foreclosure fraud so completely clear. The report consists of 98 slides, laying out the specific activities of mortgage servicers, foreclosure mills and the parent company banks to swindle homeowners and pursue illegal foreclosures with fraudulent documents. It’s a full pictorial history of the past decade in the mortgage industry, complete with actual shots of improper mortgage assignments. They show the same name of a bank officer being written four different ways, clearly forged. They show stamps from notarizations that expired after before they were used to certify foreclosure documents.

I don’t have a copy of the script that goes along with this presentation, but the slides make it very clear. In slide 7, you see the text “The History of Mortgages in America: Banks used to take the original note and mortgage and secure it in a vault.” That simple line shows how radical a change we’ve seen in the past decade, where notes are traded like bubble-gum cards, routinely lost or not conveyed properly at all, and then mocked up and forged after the fact. Slide 14: “Keep in mind these are some of the largest banks in the country… losing ownership paperwork!”

Starting with Slide 15, the presentation explains why the assignments of mortgages used in foreclosure cases are completely invalid, leading to an ineligibility to foreclose, and total chaos

Fraud As A Business Model Endorsed by The Fed And OCC

http://market-ticker.org/akcs-www?post=175615

Do "We" deserve this kind of representation, which comes from a government endorsed private entity?
The hand writing is on the wall kids, in big bold neon colors.
The Federal Reserve and the Office of the Comptroller of the Currency are biased toward the banks and don't represent you at all.
It's time to end the FED.
We all deserve better!


Yep.... any screwing is a good screwing, so long as a bank does it and you, the consumer, are the screwee.

WASHINGTON -- Top policymakers at the Federal Reserve are fighting efforts to rein in widely reported bank abuses, sparking an inter-agency feud with the FDIC and the Treasury Department. The Fed, along with the more bank-friendly Office of the Comptroller of the Currency, is resisting moves to craft rules cracking down on banks that charge illegal fees and carry out improper foreclosures. The FDIC supports such rules, according to an FDIC official involved in the dispute.

Got that?

The Fed and OCC are resisting cracking down on ILLEGAL fees and IMPROPER foreclosures.

What part of "illegal" don't these guys care about?

Oh, that's simple. If it's illegal (say, by charging an illegal fee, foreclosing by committing perjury, doctoring wire information so that the fact that you're funding terrorism in the Middle East is obscured, or screwing municipalities with hinky derivative deals, or perhaps not even transferring mortgages into alleged mortgage-backed securities) according to The Fed and OCC it's perfectly ok if it screws the consumer - or anyone except a bank.

But as soon as you screw a bank, why that's really illegal and for that you should be prosecuted.

Anatomy of Mortgage fraud

http://www.huffingtonpost.com/l-randall-wray/merss-smoking-gun-part-1-_b_794713.html


The question that no one is asking or answering is why aren't are elected officials doing anything to protect "us"?
Because they're all heavily invested in the perpetuation and cover up of the fraud.
Let not forget H.R. 3808.
Congresses blatant attempt to make the bank's nightmare just disappear.




The real mystery is why these trustees cannot produce the notes. I think we have finally found the smoking gun. An interested reader alerted me to MERS's instruction manual, "MERS Recommended Foreclosure Procedures -- State by State", originally written in 1999, updated in 2002 and available on MERS's website (accessed by clicking on: Recommended Foreclosure Procedures).

The first thing to note is the date. Folks, this strategy was formulated in 1999. The second thing to note is these documents demonstrate that failure to properly endorse the notes and transfer them to the REMIC trustee was not an occasional mistake, but rather was MERS's business model. As we will see, MERS planned from the get-go to defraud the counties, and the IRS, and the homeowners, and the buyers of the mortgage-backed securities.

Foreclosure Fraud Bombshell – Thousands of Pennsylvania Foreclosures Could Be Void

http://www.zerohedge.com/article/foreclosure-fraud-bombshell-%E2%80%93-thousands-pennsylvania-foreclosures-could-be-void


Busted beyond belief by their own babbling.

Thousands of Pennsylvania Foreclosures Could Be on Shaky Ground
Two Pennsylvania cases, one state and one federal, have exposed new types of document problems in foreclosure cases. One of the cases has potentially transformative consequences for thousands of troubled Pennsylvania homeowners. At the center of each is the same law firm: Goldbeck McCafferty & McKeever (GMM).

A lawsuit filed by Patrick Loughren against GMM details how the firm allowed — and perhaps still allows — nonlawyers in its firm to file and prosecute thousands of foreclosures.


As long as a lawyer supervises foreclosure filings, and at least reads them before they’re submitted to the court, that is acceptable. But Loughren is suing because all three named partners of GMM, Joseph Goldbeck, Gary McCafferty and Michael McKeever, have admitted under oath — during depositions last September and in a separate case in December 2009 — that no attorney ever read the filings. The partners made clear that the practice has gone on for the past several years.

Video – Attorney Signatures – The Next Fraud Battle Ground
Posted by Foreclosure Fraud on October 2, 2010 ·


Foreclosure Deposition Clip Witness = Goldbeck, McCafferty & McKeever corporate designee pursuant to Federal Rule of Civil Procedure 30(b)(6) Date = 9/21/10 Individual sitting as the designee = Gary McCafferty Trial Lawyer = Patrick J. Loughren Well well well… The video above is an actual deposition where an attorney just recently admitted to frauds we … Read more

Foreclosure Detectives Hunt for Lies , look who's doing the looking!

http://online.wsj.com/article/SB10001424052748703559504575631110278708250.html?mod=WSJ_hp_LEFTWhatsNewsCollection



URBANDALE, Iowa—In two squat, suburban office-park buildings here, Richard Barrent is digging through loan files that could help decide who pays for the mortgage-paperwork debacle.

The former Wells Fargo & Co. quality-assurance manager's two-year-old company is part of a cottage industry of loan detectives obsessed with detecting fraud, misrepresentations and violations of underwriting guidelines. Such discoveries can be used as ammunition to force banks and other lenders to buy back loans from bond insurers, holders of mortgage-backed securities and other customers of forensic loan-review firms.

"There is a growing interest across the board" for such reviews, says Charles Cacici, managing member of Risk Management Group, a Brooklyn, N.Y., company that also scours mortgage files for problems. Competitors include Digital Risk, Clayton Holdings and Allonhill.

Rep. Miller: Force Banks To Divest Servicing

http://market-ticker.org/

Uh oh .......

hoh hoh....

Members of the Financial Stability Oversight Committee
c/o Secretary Geithner, Chairman of the FSOC
1500 Pennsylvania Avenue NW
Washington DC, 20220

In light of the recent report from the Congressional Oversight Panel regarding mortgage irregularities, we are writing to support the panel’s call for a new round of stress tests to examine stability issues arising from residential mortgages held in securitized pools. Stability issues that have not been included in previous stress tests include liabilities for breaches of representations and warranties in Pooling and Servicing Agreements, liabilities arising from systemic mortgage documentation irregularities, and conflict of interests for servicers affiliated with firms that hold significant portfolios of second liens. We urge the council to recommend that its members conduct specific, thorough reviews of the potential effects of these issues on the risk profiles of the institutions they regulate and also that the Federal Reserve incorporate these potential liabilities into the new round of stress tests it announced earlier this week. We urge that the Financial Stability Oversight Council consider, in light of those stress tests, requiring that some financial companies divest affiliates involved in servicing securitized mortgages.

Someone paid attention in the hearings the last couple of days, eh?

First, we urge that the members

http://blogs.wsj.com/developments/2010/11/16/under-scrutiny-in-foreclosure-mess-banks-servicing-arms/tab/comments/


I wondered how that worked.
My own home was taken 2 years ago.
Did the HOPE...da da da, same story no go after alot of lost paperwork.
I only owed 216 thousand but by the time JP Morgan Chase got done, I owed 274 thousand. Nice kick back they got from the government there I'd say.
Yes my home did have at the very least another 50 thousand in equity.
What a bunch of rotten bastards.
The worst part of it is, it wasn't even theirs to do that with.
And "WE" the taxpayers got stuck with the extra kickback bill.

Colorado Peggy wrote:
.My husband and I tried to a remodification via a mortgage servicing company - they said we failed the net present value test. When I asked what it was, they said the investor who owned the load would come out ahead financially if we were to default. We have too much equity. With this much equity, if we were to default the servicing company and investor would milk enough fees to absorb the equity - in other words get it in their hands and not ours. I’m not for bigger government, but something has to be done to make owning a home once again a part of the American dream.
.

Fraudclosure Hearing, Day II

http://market-ticker.org/akcs-www?post=172631

And there's the beef in all of it's ponzi glory.
And I'm sure the "deep pocket" people don't want to you to see that either.
America the "deep pocket" people have made the "rule of law" in the United States a joke.
I believe it's time to show them just how seriously the rest of us take it.
Having money does not mean your above the law, or can buy the law,inconvenient or not.


Of particular note is that as far as I can tell there has not yet been one case where a court hearing a foreclosure has forced a claimant to produce actual proof of proper transfer.

However, this is not true in the case of bankruptcies. There are multiple bankuptcy cases now winding their way through the courts, and in at least some of them (where the debtor/homeowner is trying to avoid some of their mortgage indebtness) Judges are demanding strict proof that the claiming party for the debt actually owns the paper, including a proper chain of transfers.

In one pending case there have been four separate attempts to dodge production of the paperwork. One of the arguments raised by certain commentators is that it's "inconvenient" (that is, the document is actually in the custodian's vault, but it would cost something to go get and produce it.) Given that the charge for that service is usually around $30-50, this seems to be a convenient lie when one instead prepares four separate pleadings trying to avoid that production - the legal costs alone of such preparation have to reach well into four figures.

Mr. Levitin continues:

While the chain of title issue has arisen first in foreclosure defense cases, it also has profound implications for MBS investors. If the notes and mortgages were not properly transferred to the trusts, then the mortgage-backed securities that the investors’ purchased were in fact non-mortgage-backed securities. In such a case, investors would have a claim for the rescission of the MBS,79 meaning that the securitization would be unwound, with investors receiving back their original payments at par (possibly with interest at the judgment rate). Rescission would mean that the securitization sponsor would have the notes and mortgages on its books, meaning that the losses on the loans would be the securitization sponsor’s, not the MBS investors, and that the securitization sponsor would have to have risk-weighted capital for the mortgages. If this problem exists on a wide-scale, there is not the capital in the financial system to pay for the rescission claims; the rescission claims would be in the trillions of dollars, making the major banking institutions in the United States would be insolvent.

Ding!

Now we understand why banks would spend thousands of dollars in Bankruptcy courts doing their damndest to avoid having to produce that which they do not have.

The claims that people often make that this is a "nothingburger" and can be fixed retroactively do not hold up. As Mr. Levitin explains

The Truth About Fraudclosure and Servicing

http://market-ticker.org/akcs-www?post=172565

Senate foreclosure hearings.
This is a must see.
I think it's also a must send, to everyone on the Washington DC phone tree.
Obama, Geithner, and Bernanke should also be sent this clip as well.
Perhaps then, they would come to understand the jig is up and "WE" won't tolerate their lack of action any longer or their collusion in trying to keep a lid on the most heinous crime that has ever been committed against this country.
If they don't prosecute they are helping to loot, and it's time to nail them for their crime.



THE BANKS ARE BANKRUPT!

A Look From The Florida "Rocket-Docket" Frontlines: "One Foreclosure Every Two Minutes"

http://www.zerohedge.com/article/look-florida-rocket-docket-frontlines-one-foreclosure-every-two-minutes

Perhaps it's time for the Florida Attorney General to point out, where all that fraud is, that those "Retired Judges" can't see.
And perhaps it's time to check into the pockets or portfolios if you prefer of those "Retired Judges"





These special foreclosure courts though, have become highly controversial, with critics dubbing them “rocket dockets,” and claiming judges are rushing through cases, unfairly favoring banks over homeowners. For once, we get the judges' side, which is rather hilarious: "there is no evidence, nothing has been presented to us in the 4th circuit, that there is any fraud being perpetrated upon the court. What is classified as fraud, can also be classified as sloppiness, can be classified as neglect, but the legal aspect of the word fraud, we do not experience that." Could it also be classified as bribery by the TBTF lobby we wonder?

Matt Taibbi: Courts Helping Banks Screw Over Homeowners

http://www.rollingstone.com/politics/news/17390/232611?RS_show_page=0

A MUST READ!


The foreclosure lawyers down in Jacksonville had warned me, but I was skeptical. They told me the state of Florida had created a special super-high-speed housing court with a specific mandate to rubber-stamp the legally dicey foreclosures by corporate mortgage pushers like Deutsche Bank and JP Morgan Chase. This "rocket docket," as it is called in town, is presided over by retired judges who seem to have no clue about the insanely complex financial instruments they are ruling on — securitized mortgages and laby­rinthine derivative deals of a type that didn't even exist when most of them were active members of the bench. Their stated mission isn't to decide right and wrong, but to clear cases and blast human beings out of their homes with ultimate velocity. They certainly have no incentive to penetrate the profound criminal mysteries of the great American mortgage bubble of the 2000s, perhaps the most complex Ponzi scheme in human history — an epic mountain range of corporate fraud in which Wall Street megabanks conspired first to collect huge numbers of subprime mortgages, then to unload them on unsuspecting third parties like pensions, trade unions and insurance companies (and, ultimately, you and me, as taxpayers) in the guise of AAA-rated investments. Selling lead as gold, shit as Chanel No. 5, was the essence of the booming international fraud scheme that created most all of these now-failing home mortgages.

The Real Reason America’s Cities and Towns Are Broke

Foreclosure Probe on `Fast Track,' Iowa's Miller Says

http://www.bloomberg.com/news/2010-11-10/attorneys-general-probe-on-fast-track-iowa-s-miller-says.html

The question is Mr. Miller: How was it ALLOWED to happen in the first place?
After over 400 years of using the same laws of deed transfer with no problems from it's use, why was it not made understood the first year MERS was in use that it was an illegal procedure?
Why were steadfast rules of balanced banking that kept the system in check overturned?
America wants to know Mr Miller why lobbyists were allowed to buy enough political position to change the rules of safety that were in placed to protect everyone.
America wants to know Mr. Miller why there have been NO ARRESTS made for the fraudulent overtaking of our country by the banking cabal!
America wants you and the other Attorneys General to know Mr.Miller, that "WE" will NOT accept more fines for these crimes.
It's guaranteed if that position is taken again against these criminals "WE" will have no other recourse other than to take matters in our hands.
To many of "US" understand just how illegal all of this has been and that "OUR" government is up to their nose in the collusion of it.

One primary goal, he said: “We have to figure out a way this never happens again.”



The investigation by attorneys general in 50 U.S. states into banks’ foreclosure practices is on “a fast track” and any resolution might involve multiple settlements, Iowa Attorney General Tom Miller said.

“We’d like to resolve this sooner rather than later,” Miller, who is leading the attorneys general task force, said in an interview. “We want to move quickly if we can, but not so quickly that we don’t do it right.”

A global settlement of the task force investigation is unlikely, said Miller, 66, who also leads a separate foreclosure prevention group of state attorneys general. “It would be one bank at a time.”

FRAUD and THEFT right in your face, sanctioned by your Government

http://market-ticker.org/akcs-www?post=171609

America, is this really what your willing to stand for, as the rule of law in this country?
The persecution of treason must be enacted for any government official that does not come out right and demand the arrest and prosecution of the cabal, that has chosen to over look these crimes as just a paperwork mistake.
Even the dumbest American can understand after watching this, that a well thought out plan was in progress from beginning to end by the mortgage investment banking industry, formerly known as the Wizards of Wall Street.
This ladies and gentleman was NOT God's work, but the work of the Financial Mafia, and QE2 is another extention of the coverup of their crimes!
LETS ROLL AMERICA!
Because either this plane is going down, or "WE" all do!


Here Come The Depositions

Gee, there's nothing wrong here with this sort of signing of documents, right?



About 30 minutes worth..... repeated admissions that she's signing as a "witness", but she never actually witnesses anything - she's signing documents as a witness that she never witnessed. (10:00, roughly, first video, and right in the front of the second video, and well into it....)

Naw, there's nothing wrong with submitting hundreds (thousands?) of documents to a court in which you claim to have witnessed a signature when you really didn't......

It's also ok that a person who has such limited knowledge of the English language that they do not understand what the words "For good and valuable consideration" means when signing as a witness. Or, for that matter, what the words "effective date" mean. Yes, really (~4:00 to 5:30, second video.)

It's also ok that this person's signature has been scanned into a computer and used as if an original?

It's ok to testify that you never sign as a "Vice President", then you're shown a document where you have indeed signed as a Vice President.... of course, the problem here is that she doesn't understand and read enough English to know what she's doing - she's simply been paid to sign her name anywhere it appears. (~7:00 into the second video)

This is what passes for due process of law in this country. These are "technical deficiencies" in paperwork.

We don't actually have companies exploiting immigrants to this nation who have extremely-limited understanding and comprehension of the English language to utter documents attesting to false facts, right?

This most-certainly is not evidence of an organized conspiracy to defraud the courts, defraud the people, and steal homes, right?

How much more of this crap will we tolerate America?

Foreclosures and banks' debt to society

http://www.guardian.co.uk/commentisfree/cifamerica/2010/nov/05/banking-mortgage-arrears

America no longer has a "rule of law"
If it actually did the major investment banks would no longer be in business.

Rewritten bankruptcy provisions reduce indebted homeowners to servitude. What has become of the rule of law in the US?

The mortgage debacle in the United States has raised deep questions about "the rule of law", the universally accepted hallmark of an advanced, civilised society. The rule of law is supposed to protect the weak against the strong, and ensure that everyone is treated fairly. In America, in the wake of the subprime mortgage crisis, it has done neither.

To some, all of this is reminiscent of what happened in Russia, where the rule of law – bankruptcy legislation, in particular – was used as a legal mechanism to replace one group of owners with another. Courts were bought, documents forged, and the process went smoothly. In America, the venality is at a higher level. It is not particular judges that are bought, but the laws themselves, through campaign contributions and lobbying, in what has come to be called "corruption, American-style".

When it became clear that people could not pay back what was owed, the rules of the game changed. Bankruptcy laws were amended to introduce a system of "partial indentured servitude". An individual with, say, debts equal to 100% of his income could be forced to hand over to the bank 25% of his gross, pre-tax income for the rest of his life, because the bank could add on, say, 30% interest each year to what a person owed. In the end, a mortgage holder would owe far more than the bank ever received

Fed to Let Banks Increase Dividends

http://online.wsj.com/article/SB10001424052748703805704575594650694019436.html?mod=WSJ_hp_LEFTWhatsNewsCollection

What I'd like to know is if these healthy banks were involved in the MBS scandal or foreclosure fraud, why aren't their assets frozen?
Should they be allowed to indulge with money they fraudulently stole?

According to people familiar with the matter, regulators as soon as next week are expected to give guidance outlining the standards banks must meet to increase dividend payments. The Fed is expected to take a conservative approach that would require banks to demonstrate their ability to meet tough new international capital standards and any requirements stemming from the U.S. financial-regulatory overhaul.

Many U.S. banks are itching to boost payments to shareholders, citing improved profits, because they have long relied on a steady stream of dividends to lure investors. But they have been in a holding pattern as regulators across the globe hashed out new rules requiring banks to hold more capital as a buffer against future losses

Alan Grayson Demands Capital Buffer At TBTFs To Absorb Title Insurance Liabilities, Asks For New Stress Test

http://www.zerohedge.com/article/alan-grayson-demands-capital-buffer-tbtfs-absorb-title-insurance-liabilities-asks-new-stress

A real stress test should have been used in the first place,had they none of the banks would have even made it this far.

Full Grayson letter to Geithner and the Financial Stability Oversight counsel (pdf):

Dear Secretary Geithner and members of the Financial Stability Oversight Council,

I'm writing concerning the foreclosure fraud crisis and the resulting potential need for a special capital buffer for large systemically significant institutions. I'm particularly worried about the title insurance market, and attempts to lay off title liability onto large banks without corresponding changes in capital requirements.

Recently, Bank of America struck a deal with Fidelity National Title Insurance to indemnify the title insurer should legal problems with foreclosures create unanticipated title liability.

The States Take on Foreclosures

http://www.nytimes.com/2010/10/30/business/30nocera.html?src=me&ref=business

The State AG's have a score to settle.
They tried to save their states from the predatory lenders only to be stopped out by the federal bank regulators.
That may have stopped them at the time from taking out the large investment banks but it didn't stop them from taking out the predators that operated outside the national bank system.
So with that experience behind them, they are now primed and ready to take on the large investment banks, with the use of enough kryptonite to take them down.



Have you noticed that the lead dogs investigating the mortgage foreclosure mess are not any federal prosecutors or national bank regulators, but rather the state attorneys general? I sure have. I can’t think of a more encouraging development.

Yeah, yeah, a handful of federal investigations have also been announced, but we all know that they’re not going to amount to a hill of beans. Ever since the financial crisis began two years ago, the federal overseers of the banking industry have been consistently unwilling to take the rod to the institutions they regulate. The robo-signing scandal — and it is, unquestionably, a scandal — hasn’t changed that attitude one iota.

The Treasury Department and the Federal Reserve have made it clear that they are more concerned about keeping the foreclosure mill going full speed than they are about determining whether the banks broke the law. Somehow throwing people out of their homes quickly is supposed to help the economy. Or so they keep telling us.


Ah, but the states. They’re a different story.

Homeowner get the boot while banks get the bucks

http://www.huffingtonpost.com/2010/10/29/money-first-questions-later_n_776135.html

Hey, it looks as if someone finally followed a thought all the way through.
Why are we bailing the banks when they don't hold the Mortgage!
Ding Ding Ding!
Damon Silvers has just asked Phyllis Caldwell the 64 thousand dollar question.
And Naturally she couldn't answer it truthfully, so she gave the standard answer of WE don't know!
But really shouldn't she know by now, the banks have actually publicly admitted it.
Did she choose to ignore it, or was Treasury just not listening again, choosing instead to carry on with their own agenda and bailing out their buddies?


During an oversight hearing, Phyllis Caldwell, Treasury's housing rescue chief, acknowledged during questioning that Treasury doesn't know whether mortgage companies and the owners of mortgages are receiving public money under "false pretenses." Treasury is investigating, she said.

The contradiction highlights what many critics of the past two administrations' policies have claimed for some time: they exert overwhelming force when it comes to saving financial institutions, but merely modest assistance when it comes to distressed homeowners.

More than $535 billion in taxpayer money went to firms and toxic assets as part of the Troubled Asset Relief Program and the bailout of Fannie Mae and Freddie Mac, according to the latest quarterly figures from two federal auditors. About $992 million has gone to homeowners, the same data show.

So taxpayer funds may be going to companies that have no right to it, admitted Caldwell, Treasury's chief homeownership preservation officer.

"How do we know that people who don't have good liens aren't getting public money essentially under the false pretense that they have a good lien?" Silvers asked Caldwell.

"Again, we don't," was her reply. "Our focus at this point has been on..."

Silvers quickly stopped her. "Hold it," he said. "That's the issue." He added that he hoped Treasury "would be diligent" in trying to answer "what's potentially at play -- are servicers and banks getting public money under false pretenses? We ought to try to figure out whether that's true or not," Silvers added.

Caldwell agreed.

Those companies continue to get the money, though. Meanwhile, borrowers are tossed from the program for the same reason -- faulty paperwork.

Let's Talk About A Bank Holiday

http://market-ticker.org/akcs-www?post=170706

With the banks having admitted (actually being forced to admit) their financial shenanigans which include fraud as well as embezzlement, what Karl is proposing is actually the due course that should have already been executed.
There can be no forgiving nor forgetting or a conveniently misplaced looking the other way at this point.
If those that serve us as government, local or federal, don't comply with laws written specifically that address the fraud and embezzlement that the banks have inflicted upon this entire nation at will, the it will prove 2 things irrefutably.
1. Corporate America is making the rules for the running of this country, and can pick and choose at random which laws they will comply with, if any.
2. Your government is openly committing treason in regards to their duties (which were taken under oath)to the "People" of this nation.
Karl is not dreaming a little dream,
He's stating due process of the law.
Which is something that "WE" all should be able to expect from those that publicly represent us.


Let us pre-suppose that Obama grows a sack this afternoon and today after the market closes announces it.

What does it mean?

A few things happen:

1.All banks are closed as of the close of business and will not re-open unless they're certified clean and solvent. No mergers, no take-unders, you either live or die.

2.