posted on Oct, 21 2011 @ 09:41 AM
Originally posted by Aim64C
Please... tell of the laws they have broken.
Ok here is a few. First you have the mortgage companies such as Countrywide creating false documentation by the 1000's to get people approved for
loans that had no business getting. They created false income - false assets anything needed to get someone approved. They then sold these loans -
as high quality to be packaged in Mortgage backed securities. This is fraud, but nobody has been prosecuted.
Second the the financials that bought these loans figured out they were garbage and still sold them as AAA. This is fraud. I know they knew because a
JP Morgan executive stated in sworn testimony before congress that they knew in 2007 that 80% of the loans in the MBS packages they were selling were
below the standards they were claiming in the perspective.
Third Goldman Sachs was selling MBS and then buying derivatives betting against the MBS. This is fraud and insider trading.
Forth, Robosigning. Robosigning consists of hiring someone for just over minimum wage, having them claim to read over documentation, then sign as
vice president of a company they are not employed by to transfer title. These robosigners signed as dozens of different vice presidents, have stated
they signed as fast as possible and knew nothing about what they were swearing to have read, and that they were not affiliated with any of the
companies they were claiming to be vice presidents of. The banks using these services, KNEW all of this, therefore they knew they did not have valid
title, yet that has not stopped them from collecting money on loans that is not theirs, selling of the loans, or foreclosing on properties they KNOW
they have no legal title to. They have been caught numerous times filing fraudulent documents in foreclosure cases in court as well in an attempt to
prove ownership. That is fraud and theft.
Five. Hank Paulson got the leverage limit removed while CEO of Goldman Sachs. It was set at 12 to 1 - and this had been the standard for hundreds of
years in the banking industry for obvious reasons. Any more leverage than that is extremely dangerous. The banks then quickly levered themselves up
to 30 to 1 or more to maximize profits, then began to spectacularly collapse in 2008 because a simple 3% loss can bankrupt them. I know you can argue
this is technically legal - but I would state it is criminal negligence because they have to know small losses such as 3% will send them to
bankruptcy. They are doing it anyway because they believe they will not be allowed to fail due their derivative exposure if they were allowed to do
so. I believe this should be considered blackmail.
Originally posted by Aim64C
This is where you are behind the curve, and horribly misinformed.
The stock that these Title Insurance companies have invested in are largely Mortgage Backed Securities issued by Government Sponsored Enterprises -
Fannie Mae and Freddie Mac. The value of these securities is backed by the Federal Reserve.....
Which is exactly what happened with the mortgage "bailouts" - Contrary to popular belief - it was nothing new. It was just a bad business model and
practice that jeopardizes the value of the dollar. It should have never been... but... it was and the Fed had to honor it.
You do realize that Fannie and Freddie were victims of the fraud as well do you not. They bought tons of loans with fraudulent paperwork as well -
and were victimized by having the market collapse due to the fraud of the other mortgage entities.
Look I understand technically the feds have no legal right to pass any law that will supercede the states - but that simply does not matter anymore.
They seem to be able to do whatever they want illegally and get away with it. It is not only in their banker buddies best interests to have this
problem go away - it is in the federal governments best interests as well - and judging by the fact none of the crimes I listed above have been
prosecuted goes to show you the government will go very far to protect wall streets interest at the expense of the taxpayer.