How Fannie's Silence Led to $3B Taylor Bean Fraud

How Fannie's Silence Led to $3B Taylor Bean Fraud

www.bloomberg.com

The first sign of what would ultimately become a $3 billion fraud surfaced Jan. 11, 2000, when Fannie Mae executive Samuel Smith discovered Taylor, Bean & Whitaker Mortgage Corp. sold him a loan owned by someone else.
Fannie Mae, the government-sponsored enterprise which issues almost half of all mortgage-backed securities, determined over the next two years that more than 200 loans acquired from Taylor Bean were bogus, non-performing or lacked critical components such as mortgage insurance.

(visit the link for the full news article)

This article makes me furious! It's a lengthy read and details how Taylor Bean continued in business despite Fannie's knowledge of the companies fraudulent practices.

Did Fannie alert the authorities that something bogus was happening? No, somehow Fannie eased out and Freddie started taking the junk..

Why aren't there more people on trial here?

www.bloomberg.com (visit the link for the full news article)

reply to post by JacKatMtn


There's a whole lot of questions concerning regulators that dropped the ball. Bernie Madoff and Enron are the best examples that come to mind.

The money for the TR-3B, underground networks and other insidious plans has to come from somewhere. When you get right into most government departments are paying something into these black programs. Maybe a few of these scams are just individuals profiteering, but most of it is well organised along with drug, guns and people trafficking.

Jack, thanks for the article which raised my blood pressure to stroke levels!


www.taylorbean.com...

Taylor, Bean & Whitaker Mortgage Corp. ("TB&W") ceased a majority of its operations on August 5, 2009 and is no longer servicing most loans.

Successive Servicer:

If your loan has previously been transferred to a new servicer, please click here to enter your TB&W loan number and find out who your new mortgage servicer is, plus how to contact them. You should contact your successive servicer if you have a question regarding tax and insurance payments where the check(s) bounced.

TB&W Call Center:

TB&W will close its call center effective March 12, 2010. As previously stated, if you have questions on your loan, please contact your successive servicer. If you need to contact TB&W, you may do so by sending an email to [email protected].

As TB&W has a reduced workforce, your inquiry will be addressed in the order it was received.

Borrower Protocol Order:

The U.S. Bankruptcy court for the middle district of Florida has approved TB&W’s Borrower Protocol (the “Borrower Protocol Order”) which is intended to resolve certain pervasive borrower issues and concerns which include:

1. Insurance proceeds ("loss draft")

2. Tax and insurance escrow refunds

3. Platinum bounced checks

4. "Net –funding" of certain refinanced loans, the resolution of which does not require funding but involves other complexities.

Notice who has priority in the bankruptcy ... Insurance and taxes ... ie, first the investment bankers gambling (they call it "insurance"), and then the Federal reserve Bank via the IRS (they call it "taxes")

reply to post by Maxmars


No surprise there.. What would be your solution to this problem? Assuming that you have one, what are the odds of it ever being passed and implemented?

Is it one of those scenarios where the odds are somewhere between slim & none, and slim just left town?

Tell you what, I can't imagine anything akin to justice coming anywhere near this one....

I know that the executive is on the legal chopping block; but that doesn't restore the fake money to it's rightful debtor!

The thing I wonder is how many times this little drama has repeated in the past, and what of the government officials who tolerated the abuse for years while playing the technocracy shuffle?

No crime of this type has one engineer. Either this was a conspiracy to 'racketeer', or the government simply 'allows' this kind of abuse to happen until (and unless) they get caught. Either way there seem to be few willing to investigate the pattern of financial activity in other institutions which are 'approved' and 'authorized' to conduct business as a private entity under the guise of government guarantee.

The only guarantee I can make is that the 3 Billion will never be restored to the principle of our unimaginable debt.

The solution?..... A popular vote? ... It'll never happen. Not until we restore our republic.... something which is even harder than establishing one in the first place. Of course that's a thread in and of itself.

Originally posted by Maxmars
Jack, thanks for the article which raised my blood pressure to stroke levels!



Notice who has priority in the bankruptcy ... Insurance and taxes ... ie, first the investment bankers gambling (they call it "insurance"), and then the Federal reserve Bank via the IRS (they call it "taxes")

That’s not what this is talking about. When TB&W went under, they were holding a bunch money in escrow to pay the taxes and insurance for the people that had loans with them. TB&W also issued bad checks at some closings right at the end. The Bankruptcy court is making TB&W make good on the stuff for the shafted homeowners who had to come out of pocket (again) to pay their taxes and insurance because TB&W accounts were frozen.

reply to post by JacKatMtn


You are not going to see anything because many of the so call regulators with links in congress were all getting favors from the real state businesses, even Pelosi's husband is in the business and one of the reasons she was all for the bailout after the market crash, as we have seen her husbands earnings has paid handsomely for the favors into their pockets.

It was an article of how many in congress got favors after the bailout.

When you have corruption in the government do not expect any of them arresting and prosecuting themselves.