Class Action Lawsuit Alleges JP Morgan Engaged in Systematic Document Fabrication to Move Mortgage Losses from Its Books into Mortgage Backed Securities « naked capitalism

Class Action Lawsuit Alleges JP Morgan Engaged in Systematic Document Fabrication to Move Mortgage Losses from Its Books into Mortgage Backed Securities « naked capitalism

This story of the banking criminal activity just continues to unfold and it is becoming more and more unbelievable as the evidence to support massive bank fraud and criminal activity is finally seeing the light of day.  In that sense the story is playing out just as most people who knew the truth thought it would play out.  What is the truth?  The truth is that banks have egregiously committed fraud and other criminal activity for their own gain and to try and purposefully break the law and beat the system.  The real crazy thing is that the government seems to be okay with the massive lies and law breaking that has been going on by the major bank players.  It is disgusting and appalling to see the government try to brush such a massive abuse of the American taxpayer under the rug for the sake of political gain.  It is becoming more and more clear every day that the banking industry screwed just about every home owner in the country to some degree and they knew they were doing it.  Now we are seeing why they felt no shame in doing so as they have gotten away with what could be seen as the banking industry's rendition of the prefect murder.  However, it is only perfect because the politicians and current administration are in the tank for the too big to fail banks.  It is a shame that the failure of our "democracy" has to be revealed with the systematic wiping out of trillions of dollars of wealth.  

taken from story on Naked Capitalism.com

We’ve reported repeatedly of widespread evidence of grotesque procedural abuses as servicers and foreclosure mill lawyers try to cover up for the fact that in many cases, mortgage notes were not transferred properly to securitization trusts, and the rigid way these deals were structured makes it impossible to remedy those failures at this juncture. Absent creating a time machine, the only fix is to fabricate documents that make it appear than things were done correctly. We’ve seen (as in in person) obvious forgeries submitted to the court (signatures obviously Photoshop shrunk to fit) and servicer personnel caught perjuring themselves, yet judges are remarkably unwilling to issue a ruling that hinges on finding that the plaintiff filed phony documents.
If this case moves forward, that reticence may change. Note that this case, which covers only the Central District of California, alleges that Chase engaged in over 7000 filings of motions of relief of stay in bankruptcy court using fabricated documents. Remember that filing for bankruptcy puts a “stay” or hold, on all creditor claims. They all go wait while the court determines which creditors get what from the under water borrower. A “motion for relief of stay” by a mortgage lender is tantamount to saying, “Judge, let me grab the house.” Motions for relief of stay are typically a costly nuisance for bankruptcy lawyers. It wastes the borrower’s scarce money to shoo them away (and some plaintiffs’ lawyers will take advantage of inexperienced bankruptcy lawyers by getting them to sign a waiver in return for dropping the motion for relief of stay that looks innocuous but has a paragraph in it changes the burden of proof from the bank to the borrower, which almost always puts them at a fatal disadvantage and results in the loss of the home).

obama and finanical elite in bed together now more than ever

taken from Naked Capitalism website today January 10, 2011.  Great article from Bill Black clearly stating more facts regarding the fraudulent administration and how the big money banks are running the government.  It is amazing that we are living in such a state that we really can no longer be considered a free market capitalist country and we certainly are no longer a democratic republic.  We live under the umbrella of a free society while the government and elites have formed an oligarchy second to none.  The oligarchy has masterfully created this system hidden beyond the American Flag so no one really seems to questions the dismantling of our constitution or the pillaging of the American Middle class.  I recently watched the movie Margin Call and was repulsed by the portrayal that many of the participants in the mortgage meltdown were actually sympathetic characters, I will give a full review of the movie soon.  The movie showed the victims as being a few multi-millionaire wall street workers as the victims.  They missed the entire story regarding the failure of the government to protect its citizens and it failed to address the true carnage that took place on main street American that is still leaving a trail of devastation in its wake.  This Bill Black article shows more of the reality that the administration and the elected officials care nothing about the common man.  They only care to pull the wool over their eyes and get a vote from them so they can get back to living their life as an elite.  It is a fraud at its very worst levels. 

 

 

Bill Black: More Proof of Obama Policy of Covering Up for Elite Financial Criminals

Bill Black, the author of The Best Way to Rob a Bank is to Own One and an associate professor of economics and law at the University of Missouri-Kansas City. Cross posted from http://neweconomicperspectives.blogspot.com/2011/12/did-ofheo-fix-fannie-and-freddies.html“>New Economic Perspectives.
The New York Times published a column by its leading financial experts, Gretchen Morgenson and Louise Story, on November 22, 2011 which contains a spectacular charge against the Obama administration’s financial regulatory leaders. I have waited for the rebuttal, but it is now clear that the administration does not contest the charge.
The specific example that prompted the NYT article (“Financial Finger-Pointing Turns to Regulators”) was a civil action against a former executive of IndyMac. IndyMac was supposed to be regulated by the Office of Thrift Supervision (OTS). OTS was the worst of the federal financial regulators – which is a large statement. It was so bad that the Dodd-Frank Act killed it. I used to work for OTS. One of the things I did to make myself unemployable during the S&L debacle was to testify before Congress against the head of our agency, Danny Wall, and our head of supervision, Darrell Dochow. Wall resigned in disgrace and Dochow was demoted and sent back to run the obscure office he had once run in Seattle.
Ms. Story and Ms. Morgenson’s column discusses how an IndyMac manager is defending himself against suit by arguing that Dochow told him to file false financial statements. OTS’ senior leaders knew from my book exactly what they were getting when they promoted Dochow and made him the top (anti) regulator for all the top S&L originators of fraudulent liar’s loans.
This column addresses a more general point, the charge that Obama’s financial regulatory leaders actively oppose the prosecution of elite financial criminals and the regulators who conspired with them (to use the term the article quotes Professor Kane as insisting upon).

“Any financial crisis case that named a regulator probably would turn into a huge political battle, because it would question many of the nontransparent acts that bank regulators take while trying to save banks, said Denise Voigt Crawford, former commissioner of the Texas securities board and now a law professor at Texas Tech University.
In any prosecution of bank regulators, she said, “you’d have the Justice Department in a fight with the policy goals of the Department of Treasury. Particularly in this environment, you know the banking regulators would fight it tooth and nail.”
Some longtime lawyers go further and say the overall scarcity of cases related to the financial crisis might be in part because regulators want to avoid scrutiny of their own kind.
“It’s not just one 30-year-old wunderkind who was responsible for the financial crisis,” said Dennis C. Vacco, who was the New York State attorney general in the 1990s and now is a lawyer at Lippes Mathias Wexler & Friedman. “Once you start pulling the string through in these complex cases, you might be surprised what you find at the other end.”
Mr. Vacco continued: “What’s at the end of the string? The defense may be that ‘at the highest echelons of the financial institutions, we were in regular contact with the government.’”

These charges are exceptionally severe. Senior former regulators are willing to be quoted by name asserting that Obama’s (not Bush’s) financial regulatory leaders are blocking lawsuits against fraudulent financial elites and their anti-regulatory co-conspirators because they fear embarrassment. That would be a disgraceful policy. Indeed, it is hard to think of a worse reason for granting the elite white-collar criminals that caused the crisis and the Great Recession immunity from prosecution. The fact that Obama has no response rebutting this grave charge against his administration’s integrity sounds loud, but not proud.

Assange confirms Bank of America is target of bank leak from Washingtons's Blog

Story from Washington's Blog, excellent blog with great content by the way
Assange Confirms that Bank of America Is the Target of Bank Leak

There has been widespread speculation that WikiLeaks would target Bank of America.
This has now been confirmed.
Specifically, Agence Press France is reporting:
Assange also confirmed that WikiLeaks was holding a vast amount of material about Bank of America which it intends to release early next year.
Time will tell whether the Bank of America documents will be a bombshell, or just a bunch of sound and fury signifying nothing.






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