All 50 States Launch Investigation In Foreclosuregate, Wall Street Nightmare Becomes Real

www.bloomberg.com...
looks like Alabama is game!

Now its 50 Alabama jumped on the ban wagon

www.businessinsider.com...

reply to post by burntheships
Alabama too?.

Prepare for a slow motion train wreck,get the hell away from the railroad tracks.

reply to post by boondock-saint
It's already happening.

Try walking or riding a bicycle,and you will realize we are all taking these stresses out on each other.

Divided we fall.

reply to post by captainbitter


Sweet Home Alabama!

reply to post by blankduck18


Thanks to both you you, going to change title now!

Originally posted by chiponbothshoulders
reply to post by burntheships

 

Alabama too?.

Prepare for a slow motion train wreck,get the hell away from the railroad tracks.

Yup!

If it turns into Total War here, don't ever lose an original cancelled check. You should know that there is actually one fairly respectable reason for doing FC filings with note copies, besides servicer laziness or loan sale screw-ups: taking your original note out of the custodian's vault to send to some local attorney to attach to a court filing creates several more opportunities for it to get lost. If it becomes a requirement that FC can proceed only with the original note in the courtroom, and the presence of an LNA always means dismissal, then the things are going to have to be handled and shipped and received with the same level of security as a million-dollar bearer bond. Like, a Brink's truck and a bonded courier carrying a briefcase handcuffed to his wrist. You want to pay the cost of that? No. You don't. But you will.

Read more: www.businessinsider.com...

Question, when the states finish the investigation and find the kink who will iron it out.
Will it be locally per state or would it be on a single platform through the supreme court.
Im thinking may be a 10th amendment snafu in the works as well.

reply to post by hillbilly4rent


Its very possible.

blogs.wsj.com...

Some homeowners are beginning to wonder why they should pay a mortgage at all. Others haven’t paid in months.

As we write today, foreclosed homes are being pulled from the market, and buyers—especially investors intent on quickly reselling or renting out foreclosed properties—are retreating to the sidelines amid growing uncertainty over the extent to which banks filed fraudulent foreclosure documents.

That’s troubling for the market because foreclosure sales have been a big part of recent closings, helping some markets limp closer to stability. Housing can’t truly recover until the foreclosure crisis ends.

Somewhere, somplace this will have to be wrapped up. The longer it takes the worse it gets.

reply to post by boondock-saint


I think your right about an event. I dont know how this will all turn out.
Sorry to hear about your house. Really.


Here we go...We are talking subpoenas!

Check this out!

www.scribd.com...

reply to post by burntheships


I just read the subpoena, looks like heads are actually going to roll. This doesn't look like a here then gone sort of event, this looks very serious. Well if it is proven as we think then expect nothing short of Market and Economic collapse when TSHTF.

This could be a very pivotal moment when we are getting the justice we deserve even if it comes at the cost of our economy.

Am I exaggerating this?

reply to post by Misoir

No I dont think so. I have been keep"What if we find that of these $6 trillion in securities that are out there, outstanding right now, half or more of them are defective. You put them back on the banks and they all blow up.ing a close eye out for something just like this...

www.zerohedge.com...

Now think a little further here. How far behind is the commerical real estate crisis?
An avalanch....

Some good reading here
michael-hudson.com...

Also, check out this terrified scenario by Chris Walen
www.businessinsider.com...-financial-crisis--continued-deflation-1

Oh my ....

This is just surreal: the Associated Press has put together a must read profile of all the people who the mortgage servicing industry has been scrambling to get together since 2007. The outcome, and stereotypes, are stunning: "In an effort to rush through thousands of home foreclosures since 2007, financial institutions and their mortgage servicing departments hired hair stylists, Walmart floor workers and people who had worked on assembly lines and installed them in "foreclosure expert" jobs with no formal training, a Florida lawyer says." And it gets even scarier - these "experts" pretty much all confirm they participated in fraud, either willingly or unwillingly: "In depositions released Tuesday, many of those workers testified that they barely knew what a mortgage was. Some couldn't define the word "affidavit." Others didn't know what a complaint was, or even what was meant by personal property.

Zero HedgeZero Hedge

Good stuff here:

What happens next?

Really, it’s a mess, and no one is exactly sure. I believe it is likely the following will happen. First, if a “lender” tries to foreclose, it will have to have the proper signed paperwork showing it has the right to foreclose. If the note transfer wasn’t recorded, the bank can’t foreclose. But this is the most fundamental part of banking, so it is entirely the banks’ fault. We know how much they love “sanctity of contracts” when it comes to bonus agreements, so the same applies here.

But it doesn’t mean the borrower doesn’t owe money. Obviously there will be records of payment and loan statements and evidence of delinquency. It will be difficult for the borrower to deny the existence of the debt and the obligation to pay. [If it is in doubt to whom the money is owed, then courts might put future payments in escrow, but it seems likely that it will be easier to establish debt/payment than foreclosure rights. Really, I don’t know, but to say the loan will be unenforceable when one can prove payments were made, doesn’t seem like it will fly in the courts.] But absent proper paperwork, a bank cannot take a house in satisfaction of the debt, so the bank will be an unsecured creditor. Once this is established as the case, if the borrower has the wherewithal to pay on say, a reduced principal balance and a lower fixed coupon, then the borrower will be in an excellent position to renegotiate the terms of the loan by offering to sign a properly documented mortgage. This may succeed where HAMP failed. I’m not saying it will be easy to sort this out, only that this has potential.

In some cases, the borrower is a hopeless case, now unemployed, broke, and drowning in credit card debt and other debts. Yet, a bank cannot seize the house, and the borrower still owes the money. In that case, it might be a good idea to negotiate a deal with the bank. Take the house, but erase all credit blemishes, and if the loan balance exceeds the recovery on the house, then the bank has to eat the loss with no blemish on the borrower.

Obviously, I don’t have the answer to the problem, and nothing suggested so far to courts (by the banks) is as reasonable as the above, but we’ll have to see what develops. In any case, states will insist that everyone follow the law.

www.zerohedge.com...

reply to post by burntheships

No, his is in Breaking News. Its ok, different forums.

Thanks I am doing my darnedest to make sure people understand what is really going on. We need to kill the FED. It can be done by freezing the money supply and requiring 100% reserve banking, the ONLY ethical banking.

The UK is actually thinking of following Mises advice: There is a discussion of it HERE

To understand what I am talking about this might help (I am still learning as fast as I can)
Mises on Money

reply to post by Monts

As was said in another related thread, I hope that this investigation results in a lot of those bankers ending up in orange jumpsuits.

I hope it also includes some of the shoddy lawyers too. BROCK AND SCOTT for one.

PER CURIAM: In this attorney disciplinary matter, respondent and the Office of Disciplinary Counsel (ODC) have entered into two Agreements for Discipline by Consent pursuant to Rule 21, RLDE, Rule 413, SCACR. In the first agreement, respondent admits misconduct and consents to the imposition of any sanction up to and including a two year definite suspension from the practice of law...

While employed as a non-lawyer at Brock & Scott, respondent conducted real estate closings without an attorney being present. Respondent signed his own name to the documents associated with the real estate closings. After conducting the closings, it was respondent’s practice to have other employees of the firm sign as witness and/or notary on the documents even though they were not present at the closings.
www.judicial.state.sc.us...

I can personal attest to the fact that this is common practice by Brock & Scott along with other shoddy practices. GRRRRrrrr

reply to post by crimvelvet



Thanks again, great info. Its swim or sink time.
I dont know how long before giant cracks open up and people fall in.

One thing, people do need to get their facts straight now. No one will do it for them, that should be obviouis.

The federal regulators in charge of mortgage servicers — including the Office of the Comptroller of the Currency and the Federal Trade Commission, though each in a limited capacity — generally have not taken action when they break laws. In fact, though the Housing and Urban Development Department receives thousands of complaints a year, Washington hardly ever reacts. Instead, state governments are responsible for regulation. And that means a patchwork quilt of responses

washingtonindependent.com...

I see this as a good thing so far. Lets hope it does provide some relief to the people who deserve it...not the Feds.

reply to post by burntheships


I could be devastatingly wrong, Burn, but I don't feel that. I can't imagine how, but I feel like something like this would/ will be a cleansing & setting things right side up again. Maybe a new start? I am a chronic, major worrier (Dec 12, 2000, I felt like "it" was over- no idea what it was. It took just over 6 months to drag myself out of it. It wasn't political).
Sometimes, things have to play out the way they were supposed to.
just sayin

reply to post by DogsDogsDogs


Oh I am with you there. I see this as a positive. The only caveat would be if this is a trigger for
a False Flag event. I would never want to see another 9/11. Never.

But, even if it causes a major meltdown, beyond what we saw in 2008 I see it as good.
So when I say this is bad...or scary, what I really do see is an opportunity for cleansing!

reply to post by burntheships


:-) I think- I HOPE! this is going to scare the living # out of them to the point that they wouldn't dare. You know they thought they were going to get away with it. You could see it on their faces back when they had that meeting in the WH. They've GOT the money. It's not like it vanished into thin air. There is such a thing as restitution- especially if they start going to jail.
I think we all better start making popcorn by the garbage bag full.
We're just going to have to wait & see. :scream:

reply to post by DogsDogsDogs


Yes, that money they have all been sitting on. New record high bonuses...makes me sick.
Of course, popcorn sounds good, I am going to get some now!

After all we paid for the show, did we not?
What I find good about this, is the new opportunities this will open up for mortage holders.
Perhaps there might be a little small amount of justice. We can hope.