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Fake documents suggest bigger problem

July 19, 2011

Action in March by federal  bank regulators wasn’t enough to scare banks away from the way they handled foreclosures. Reuters found that big banks that service mortgage loans continue to use robo-signers, file false documents and mislead courts in their efforts to take houses from homeowners delinquent on their mortgages.

The findings point to the need for a widespread audit of mortgage documentation by federal bank regulators, a step they have so far strongly resisted. The pervasive use of questionable documents in foreclosures suggests that the cause is deeper than just corner-cutting by mortgage loan servicers. It suggests that to a large extent, original lenders never turned over the required ownership documents when pools of new mortgages were securitized and sold to investors. Investors may have spent billions to buy mortgages they never received.

By Scot Paltrow

Link to PDF: http://link.reuters.com/kyb72s

Comments

All time largest massive fraud ever perpetrated on the American people and the world, blatant non-stop criminal activity by the bankers, a complicit lame government that does nothing about the abuse, extortion by bankers to bail them out, entire political parties (GOP) that defend the criminals, resulting in massive unemployment and housing foreclosures – this is America today. And yet a few days ago one Judge wanted to put Willie Nelson in jail for possession of 3 oz. of marajuana. The small minor infraction which hurt not one person gets full or more than full punishment, while the giant criminals who have practically brought down the entire globe through their greed and felonioius crimes hurting billions of pwople get no jail time and continue unabated overtly pursuing their crimes. The entire country is socially and spiritually upside down. Evil is Ok, and Good must be irradicated.

Posted by JLWR | Report as abusive
 

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