Posts filed under “Foreclosures”

Banks Pressing for Foreclosure Settlement Before Investigation

If ever you need as an illustration why bank bailouts are such a misguided idea, one need look no further than Fraudclosure and RoboSigning. The sunk cost of the bailouts have completely skewed government officials priorities. Hence, enforcement of laws and imposing criminal penalties has become verbotten, as it undercuts the prior monies.

Why do I suspect that the hand of former NY Fed president and current Treasury Secretary Timothy Geithner is behind this?

So far, only Attorneys General in six five states have questioned the rush to settlement before full investigations have been completed. In addition to California, the AGs in Delaware, Massachusetts, Nevada and New York are raising questions about any settlement prior to a full and thorough accounting of exactly how such massive illegality took place at the nations’ largest banking institutions and law firms. Florida’s prior AG was actively investigating fraudclosure, but the new AG, Pam Bondi, has apparently sold her soul to the notorious Lender Processing Service. She fired the Fraudclosure investigators, and I continue to search for evidence she is not corrupt public official, more or less in vain.

Regardless, the banks are hoping to head off further investigations by writing a check in amounts between $18-25 billion dollars.

“Bank representatives and government officials are working on a broad settlement of most state and federal foreclosure-practices investigations that could move forward without the participation of California, long considered a key to any deal, people familiar with the negotiations said.

The terms of the deal remain fluid. Banks have proposed a deal excluding California that would carry a value of $18.5 billion, though the final outcome remains uncertain, people familiar with the discussion said.

Negotiators are continuing to make a push to persuade California to join a settlement valued at $25 billion among federal officials, state attorneys general and the nation’s five largest mortgage servicers: Ally Financial Inc., Bank of America Corp., Citigroup Inc., J.P. Morgan Chase & Co. and Wells Fargo & Co. The talks center on the banks’ use of “robo-signing,” in which employees approved legal documents without proper review, and other questionable foreclosure practices.

The dollar value would include the value of principal write-downs, interest-rate reductions and other benefits to homeowners as well as cash penalties.

But negotiators now are discussing how to structure an agreement if California remains on the sidelines. Until recently, it seemed unlikely that a settlement would be possible without the participation of California Attorney General Kamala D. Harris. She left the discussions in late September, calling the deal then on the table inadequate. The state accounted for 13.1% of all mortgages outstanding at the end of September and 10.8% of all loans in foreclosure, according to the Mortgage Bankers Association.”

California has two million+ underwater homes, according to CoreLogic.

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Previously:
Florida Attorney General Report on Fraudclosure (January 2011)

The Foreclosure Zoo (November 2010)

Source:
Foreclosure Talks Push Ahead Absent California
RUTH SIMON And NICK TIMIRAOS
WSJ, November 23, 2011  
http://online.wsj.com/article/SB10001424052970203710704577054550234461744.html

See also:
Florida Asst AG Andrew Spark Scathing Memo

Assistant attorney general resigns after memo blasting Florida AG’s office

Category: Bailouts, Foreclosures, Legal, Real Estate, Really, really bad calls

Real Free Market Capitalists Demand that Financial Fraud Be Prosecuted

Adam Smith, Leading Austrian Economists and Other Free Market Advocates Are For the Prosecution of Fraud There is a widespread myth that free market supporters are against regulation or prosecuting fraud. In fact, Adam Smith – the father of free market capitalism – was for regulation of banks, and believed that trust is vital for…Read More

Category: Bailouts, Foreclosures, Legal, Really, really bad calls, Think Tank

Nevada AG RoboSigning Indictments

Below are the first criminal charges brought in the foreclosure fraud scandal. Every state Attorney General will take note of what Nevada AG Catherine Cortez Masto just did. We’ve read the indictment, and those 606 charges are no joke. Just open it up to any page and you’ll see what was going on. A likely…Read More

Category: Foreclosures, Legal, Think Tank

Nevada Attorney General Robo-Signing Indictments

OFFICE OF THE ATTORNEY GENERAL ANNOUNCES INDICTMENT IN MASSIVE CLARK COUNTY ROBO-SIGNING SCHEME To: Office of the Attorney general ANNOUNCES indictment in massive clark county robo-signing scheme Defendants to be Held Criminally Accountable for Filing Tens of Thousands of Fraudulent Foreclosure Documents Carson City, NV – The Office of the Nevada Attorney General announced today…Read More

Category: Foreclosures, Legal, Think Tank

29% of Mortgages Are Underwater

MSNBC – Nearly 29% of mortgaged homes underwater A whopping 28.6 percent of homeowners with mortgages owe more on their loans than their homes could sell for, according to quarterly data released Tuesday by Zillow, a real estate website. That’s up from 26.8 percent in the second quarter. Home values declined only 0.2 percent from…Read More

Category: Foreclosures, Real Estate, Think Tank

Fighting Fraudclosure

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Category: Foreclosures, Video

MERS Has Broken Or Diluted Chain Of Title

HARBINGER ANALYTICS GROUP REAL ESTATE FRAUD EXPERTS:

David E. Woolley is the author of the attached white paper. Mr. Woolley is a California Licensed
Land Surveyor and Certified Fraud Examiner with over 24 years of experience and is the
principal in Harbinger Analytics Group:

“Thanks to the Mortgage Electronic Registry System’s (“MERS”) failure to accurately  complete and/or publically record property conveyances in the frenzy of banks securitizing home loans and in subsequent foreclosure actions,1 neighbors to a foreclosed property (with a sequential conveyance) as well as the foreclosed property itself will have unclear boundaries and clouded/unmarketable titles making it difficult, if not impossible, for these homeowners to sell their properties and for subsequent purchasers to obtain title insurance on that property.  MERS now keeps electronic records on about half of the home mortgages in the United States.

Many problems with MERS and the home loan securitization process have been reported in print media (countless articles), in movies (the Inside Job) and on television (most recently on the April 3, 2011 edition of 60 Minutes).  Academic professors such as Christopher L. Peterson of the University of Utah, S.J. Quincy College of Law, have written extensively on what is wrong with MERS.

Courts have ruled against MERS’ standing to foreclose and have criticized the MERS model as being flawed, wholly inaccurate and not allowing homeowners to fight foreclosures because it shields the true owner of a mortgage in public records.5  States Attorneys’  General and federal bank regulators are investigating MERS practices including fraudulently robo-signing and back dating missing documents.  A few County Registrars of Deeds are claiming that they are owed millions of dollars in lost revenue from mortgage assignment transfers that were not recorded because MERS was listed as the mortgagee in public land records.

Full PDF after the jump . . .

Read More

Category: Foreclosures, Legal, Real Estate, Think Tank

Richard Vetstein is a nationally recognized real estate attorney,  frequently quoted in the media.  He was recently named one of Inman News’ 100 Most Influential in Real Estate. Mr. Vetstein is the founder of the Vetstein Law Group and TitleHub Closing Services LLC. The  former outside claims counsel for a national title company, he has…Read More

Category: Foreclosures, Legal, Real Estate, Think Tank

Delaware Attorney General Biden Investigates Bank Fraudclosure

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Category: Bailouts, Foreclosures, Real Estate, Video

Fraudclosure Errors Destroying Americans’ Property Rights

Over the past 2 years, I have warned repeatedly about the dangers to American property rights caused by massive bank fraud, A deadly combination of MERS, robo-signing, and illegal shortcuts have created a horrific situation. A bedrock of our society — the ability for the owner of a piece of real estate to confidently convey…Read More

Category: Bailouts, Foreclosures, Legal, Psychology, Real Estate