Friday, October 8, 2010


Here is a story from NPR that has also appeared in many other news outlets.

"With well over a million homes being repossessed, 2010 is shaping up to be a record year for foreclosures in the U.S. But there are serious questions about the way many have been carried out, and now prosecutors are investigating whether some of the country's largest banks committed fraud.
— GMAC Mortgage, Chase and Bank of America — in written statements basically say that the underlying facts behind these foreclosures were sound, and that they weren't taking people's homes for no reason. 

So, is this just a problem of the banks being sloppy and too casual with the paperwork? Attorney General Cordray thinks not.
"That's not what we have here," he says. "What we have here is lying under oath. The facts may or may not be correct. And this seems to have been an industry-wide practice, where the companies encouraged this and required it of their employees — to commit deliberate fraud on the court in case after case after case."

The financial interests involved here are the same that finance those who say they are for America's working class. Now it seems to me that since we gave these institutions billions of our tax dollars so they could continue to make record profits, why are they so hastily and so illegally trying to quickly foreclose on millions of homes? How is that being for the American worker? 

The article goes on to say, "We (Ohio) have filed a lawsuit against GMAC Mortgage and their parent company, Ally, and we consider each separate incident of a false affidavit filed in a case warranting full penalties of $25,000 per incident," he says.
That's $25,000 per homeowner, and there have been millions of foreclosures. This isn't just another shoe dropping for the mortgage industry.
"That is so much bigger than a shoe," Cordray exclaims.

I suggest that for every home foreclosed in this manner, that they be forced to pay the $25K per incident, and that those funds be used to help homeowners keep their homes. Now that would be a true economic stimulus.

Legislation that would have allowed lenders more flexibility in signing court documents and speeding up foreclosures had been sent to President Obama, but he's using a rare "pocket veto" to essential kill it. ( )

When you vote in just a few short weeks ask yourself who will work in your best interest? Those who would take your home, or those who at least are trying to really help? Clearly, the Democrats have been a disappointment. The financial interests have long arms. But their fundamental motives are more in tune with what is needed.

When will we say enough is enough?

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