BoA

Fraudulent Foreclosures Running Amok

The foreclosure fraud bombshell has hit the fan. Updating an earlier post, Bank of America has now halted foreclosures in 23 states:

Bank of America is joining JPMorgan Chase and GMAC is suspending foreclosure processes in 23 states that weren't reviewed properly.

A BoA exec admitted she signed up to 8,000 documents in a month and typically did not read them.

Connecticut has halted all foreclosures:

Connecticut Attorney General Richard Blumenthal on Friday ordered a moratorium on all foreclosures by all banks for 60 days--the most radical action taken by a state on issue of document irregularities.

California also expanded the moratorium on foreclosures it announced last week on Ally Financial foreclosures to include those by J.P. Morgan Chase.

Calling the companies' review of key foreclosure documents "a ruse," California Attorney General Jerry Brown (D) ordered J.P. Morgan to prove it is following the law before it continues foreclosures in the state.

Both J.P. Morgan Chase and Ally have frozen foreclosures in 23 states because some employees had signed off on foreclosure paperwork without properly reviewing the files.

Colorado and Illinois have stopped foreclosures by Ally and at least seven other states have launched probes into the issue. But Connecticut is the first to institute an industry-wide ban.

Friday Movie Night - Breaking The Bank

hot buttered popcorn It's Friday Night! Party Time!   Time to relax, put your feet up on the couch, lay back, and watch some detailed videos on economic policy!

 

Before we get to the documentary, if you missed this one, it's a must watch! Before Congress, health insurance executives refuse to stop rescinding health insurance coverage, retroactively, when a person actually gets sick! Reminds me of the big Tobacco CEOs Seven Dwarfs famous clip, all under oath swearing they did not believe nicotine is additive.

Bail Out Hypocrisy - Manufacturing Gets the Shaft, Financials Get to Craft

The White House is in full hypocrisy mode. While Obama Treasury Secretary Geithner tries to do a massive power grab, invites financial sector CEOs to craft policy and cooperate in their multi-trillion dollar U.S. taxpayer money pig fest, the auto industry is shipped to bankruptcy court. Even worse, Chrysler is to be broken up into good cars and bad cars, yet Italy (Fiat) gets the good cars and the United States gets the bad.

Meanwhile Obama Press Secretary Robert Gibbs struggles as reporters immediately question the different standards:

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