GENERALS − Attorneys General At War With Themselves − Good For Underwater Homeowner and Those With Foreclosure Issues

by Ken Kappel on October 10, 2011

Beth Kassab of the, has an “interesting,” yet, interim recap article regarding action with 50 state Attorneys General, called: “States’ foreclosure talks falling apart.” Directly to her work. Wait. One tip, rather question, as you read this see if you can discern whose side this reporter is really on. Clue at the end.

“A potential settlement agreement between state attorneys general, federal agencies and the nation’s five largest banks over foreclosure-related offenses is falling apart.” [Emphasis Added.]

“Already two large and influential states — first New York and now California — have dropped out of the settlement talks after the attorneys general of those states said the deal was shaping up to be too soft on the banks. And Massachusetts publicly expressed concern this week about the direction the settlement was headed.”

“Attorney General Pam Bondi, who represents Florida as one of the remaining states on the lead negotiating team, told the Sentinel it is “vitally important” to stick with the group settlement effort. An agreement would set up funds that the banks pay into to compensate borrowers who were wronged by certain loan servicing practices that came to light as a result of the robo-signing scandal, in which thousands of fraudulent foreclosure documents were discovered.”

“But confidence that a settlement would have enough teeth to help borrowers in a meaningful way is waning. And Bondi, the state’s top cop who should be a bulldog when it comes to one of the largest and widespread scams to hit Florida in recent memory, doesn’t exactly have a reputation for being a hard-charger when it comes to battling the banks.” [Emphasis Added.]

“Bondi is having trouble, for example, coming up with a good explanation for why her office fired its two most aggressive attorneys who were investigating banks for foreclosure fraud.”

Ken here. Clearly the fix is in.

“Earlier this year she wrote a letter to Iowa Attorney General Tom Miller, who is leading the settlement talks for the states, to say she disapproved of including principal reductions, an important [critical] tool in helping certain borrowers, as part of the settlement.”

“And Bondi didn’t even attend key negotiating sessions in Washington, D.C., on Tuesday and Wednesday, even though she is one of just seven remaining attorneys general on the executive committee. She said she sent one of her top consumer protection attorneys instead.”

“Certainly, Bondi is juggling a lot of cases, but there is hardly any issue more sweeping in its impact on Florida than the foreclosure crisis. In our state, one out of every 396 homes is currently in foreclosure compared with one of out every 611 homes nationally.  The states have their best leverage as a collective unit because the banks would prefer to play by one set of rules rather than come to 50 different agreements.”

“For borrowers, a settlement offers a faster and more definitive resolution than each state suing the banks and wading through years of court proceedings. But those advantages have now been diluted as California, New York and potentially other states say they want to go their own way.”

Ken here. Jeez, now the bloody reporter is selling out individual homeowners.

“One of the biggest sticking points is how much the states agree to give up when it comes to investigating and suing the banks on their own for other related foreclosure and loan servicing issues. A settlement agreement would potentially alleviate the banks of such related liability. There is this bit of good news. Soon a process will be in place for borrowers who were in some stage of foreclosure in 2009 and 2010 to have the foreclosure reviewed and possibly receive compensation if they were “financially injured” by the bank.”

Ken here. The “… loan servicing issues.” mentioned above, are about criminal liability for fraud. Why doesn’t she say so? Her bosses wouldn’t like that. And, if you haven’t noticed − the game is fixed.

“The soon-to-be-in-place review system is the result of orders from the Federal Reserve and Office of the Comptroller of the Currency that found “unsafe and unsound” practices at 14 banks in the wake of the robo-signing cases.”

“As many as 4.5 million people nationwide may be eligible to have their foreclosure cases examined. Stay tuned for more details as they become available.”

Ken here. Nearly pandering B.S. If you have foreclosure issues, or, are just plain underwater and want to get rid of your pain, gain justice, move to protect your family, and, defend your home stay tuned. Educate your self with our book and this blog. Then one day soon you’ll be able to Confront Fraudulent Housing Debt.

And, believe us, nearly every loan out there sounds in fraud, one way or another. You are victim of a conspiracy. And the Financial Elite perpetrators are drowning (deeper water than you’re in) in their own debt, and things are generally approaching crisis. Think we’re deranged? Read on. Learn the facts. We rest our case for a minute. But, think on this: why have so many folks gone to the street all over the nation? What they share, all of them, is: Discontent.

Trust me you are also — Discontented –  else you wouldn’t be reading these words right here right now. It isn’t about your, ahem, political orientation — it’s about defending your family and your home. We certainly had no idea it was coming, but, frankly, Confront Wall Street, is what you must be about; or, homeless, or a renter. It doesn’t have to be. They — Wall Street — knowingly committed fraud in your loan. What will you do about it? Be a loser, or, educate yourself. Tough stuff. Yet, that is the bottom line. You know it. Stay tuned.

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