Tuesday, December 6, 2011

No More Immunity Shots

Massachusetts has filed the first major lawsuit against the nation's biggest banks for unfair and deceptive foreclosure practices.

In the past, banks just negotiated a minuscule settlement (bribe) to cover up their illegal practices. This lawsuit will end that.
The Massachusetts lawsuit alleges that Bank of America, Wells Fargo, Chase, Citigroup, and GMAC illegally seized  properties, filed fraudulent foreclosure documents, and failed to help struggling borrowers - for example, telling borrowers to fill out paperwork by a certain date, having them pay a fee, then the bank lets the due date lapse, then tell them they didn't qualify for assistance and refuse to say why, then say the paperwork has been lost and foreclose anyway.

The lawsuit may allege, but we all know this abuse is a fact.

Massachusetts Attorney General Martha Coakley filed the suit after negotiations failed between the banks and a coalition of state Attorneys General when the banks wanted immunity from liability for what they did - as they always had in the past. Yet they also failed to admit they had anything to do with the current economic mess. If the banks don't believe they did anything wrong, then what do they need immunity from? Sounds like a lie to me. As proof, I present James Theckston, a former Chase Banker who said to the New York Times that he and other mortgage lenders pushed minorities and unqualified borrowers toward sub-prime mortgages because, "The bigwigs... figured out we're going to make billions out of it, so who cares? The government is going to bail us out."

Hopefully, the states will have more balls than the federal government in going after the banks.

I smell Occupy influence. At the very least in the general boldness of select current government actions regarding the 1%.

Tea what now?

In a related story, the Treasury Department is investigating ten of the top United States banks that have illegally foreclosed on the mortgages of nearly 5,000 active duty United States military members. George Bush made it illegal to foreclose on active duty soldiers in 2003 with the Servicemembers Civil Relief Act, an amendment to the Soldiers' and Sailors' Civil Relief Act. This investigation is part of a larger examination by the comptroller's office to determine whether 4 million more borrowers were also illegally foreclosed on in 2009 & 2010.

Earlier this year, Bank of America paid $20 million to almost 160 service members illegally foreclosed on between 2006 & 2009. Each service member received approximately $117,000 plus compensation for lost equity, according to the Department of Justice.

Of course, the banks deny any wrongdoing. What country do they live in? Because it's kinda obvious to me what's going on in America.

This is one of the things the Occupy movement is fighting. Those lazy, want free hand-outs, anti-corporate, good for nothing hippies.

Teabaggers, on the other hand, wanted to see Obama's birth certificate and prevent themselves from having lower health care costs.

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